Injection molder IPL plans to create a new Canadian company

Injection molder IPL Plastics plc is planning to create a new Canadian company in order to refinance its debt.

IPL, originally based in Dublin, said in a statement that it plans to create a new holding company called IPL Plastics Inc. to facilitate the potential launch of its shares in Toronto. The molder is considering listing the new company on the Toronto Stock Exchange.

An annual general meeting of IPL owners and management is scheduled for May 17 in Dublin, at which shareholders will be asked to approve a scheme which will see a reorganisation of the company and the establishment of the Toronto-based IPL Plastics Inc.

In preparation for this, and as reported by the Irish Times, IPL announced last week that it has agreed to a 400 million euro refinancing of existing debt with a syndicate of banks led by Bank of Ireland and National Bank Financial. IPL said that it wanted to replace two main loans provided by separate Irish and Canadian banking syndicates with what it called “a more appropriate” company-wide structure.

Founded in 1939 as a small household goods manufacturer, IPL has grown to become a leading North American manufacturer of injection moulded plastic products for the food and bulk packaging, environment, and material handling sectors. It has about 1,900 employees and operations in the UK and China, as well as in Canada and the US. IPL’s Canadian facilities are located in Edmundston, N.B. and Saint-Damien-de-Buckland, Que.