While details of the cost of the acquisition have not been released, Regain has confirmed that, alongside the purchase of new machinery at its facility in Castleford, it has invested around 1 million in its operations in January 2012.
Originally a recycler of post-consumer polystyrene products, Regain has expanded its capability to handle a larger variety of rigid plastics including polyethylene and polypropylene over recent years, and hopes to gain a greater footing in the market through the purchase of Express Plastics and Recycling Ltd.
Express Plastics and Recycling Ltd specialises in the separation and reprocessing of rigid end of life plastics and operates a 40,000 tonne-per-year capacity facility in Rainham. Formed in 2006, the company also offers consultancy services for firms in the plastics recycling sector. Express Plastics and Recycling Ltd will now operate under the Regain Recycling and Plastics Ltd.
Regain hopes that the acquisition of Express Plastics and will allow it to increase its market share and improve its ability to obtain raw materials for production.
Ian Porter, managing director of Regain Polymers Ltd, said: We are actively seeking opportunities to expand our business and this new venture will increase both our capabilities and capacity to supply the market.
Regain began operating in 1991, operating under the title Linpac Recycling Ltd, and has undergone significant changes in the last 12 months after it was bought out by London based private equity firm Chamonix in January 2011, and changed to Regain Polymers (see letsrecycle.com story).
Investment
The company also announced the purchase of a state of the art twin screw extruder, to be installed at its Castleford plant in March this year, which will increase the plants extrusion capacity from 34,000 tonnes to around 45,000 tonnes per year.
Commenting on the deals, Regain Polymers technical sales director Mark Roberts, said: We believe this combination of investments to be one of the most significant developments in the UK recycling market for many years. Our strategy is one of growth, and these investments will give us both the technology and capacity needed to ensure that we are well placed to achieve this in 2012.
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