AT Plastics merges with Vancouver chemical company
Canadian PlasticsCanadian Plastics
Acetex Corporation, a major producer of vinyl acetate monomer, and AT Plastics Inc. have announced plans to merge.
Acetex Corporation, a major producer of vinyl acetate monomer, and AT Plastics Inc. have announced plans to merge. AT Plastics (Brampton. ON) is a manufacturer of polymer resins, compounds and film products and a major purchaser of Acetex’s vinyl acetate monomer. The merger is subject to closing conditions and regulatory approval.
Under the agreement, AT Plastics will become a wholly-owned subsidiary of Acetex. Terms of the agreement call for shareholders of AT Plastics to exchange each of their common shares for one-sixth of one common share.
Brooke Wade, chairman and CEO of Acetex, said the merger will result in the refinancing of AT Plastics’ heavy debt burden, alleviating the sizeable debt servicing costs that have diminished the company’s financial performance. Wade said present management of AT Plastics will continue to lead the company post-merger.