Major Bearings Projects Update

RNS Number : 1424M

Plastics Capital PLC

14 July 2014

 



14 July 2014

Plastics Capital plc

("Plastics Capital" or the "Group")

Major Bearings Projects Update

Plastics Capital (AIM: PLA), the niche plastics products group, announces that it has successfully converted a major design project in its plastic bearings division.

The conversion of the design project and the tooling order now received represents a major commitment from a tier one automotive manufacturer for the production of tooling which will lead to the supply of lower steering column bearings over a 7 to 10 year period.  High volume production is expected to commence in the first half of the next financial year. Sales are expected to reach more than £0.5m on an annualised basis and lifetime sales for the project are expected to be in excess of £4.0m.

Commenting, Faisal Rahmatallah, Executive Chairman, said:

"This major project win is indicative of what we can achieve in the bearings division with a number of large opportunities that are currently with our design engineering team.  It is particularly significant as conversion of these major projects will drive significant revenue and profit growth over the long term in this division. We anticipate that other major projects of similar scale will convert in this division during the next 12 months. "

Plastics Capital plc	Tel: [phone]
Faisal Rahmatallah, Executive Chairman
Nick Ball, Finance Director
Cenkos Securities	Tel: [phone]
Stephen Keys Mark Connelly
Allenby Capital Limited	Tel: [phone]
Katrina Perez
Kelly Gardiner
Walbrook PR Ltd	Tel: [phone]/[e-mail]
Paul Cornelius	Mob: [phone]
Helen Cresswell	Mob: [phone]

Notes to Editors

Plastics Capital is a consolidator of plastics products manufacturers focused on proprietary products for niche markets.  The Group has four factories in the UK, one in Thailand, two in China and sales offices in the USA, Japan, China and India.  Approximately 60 per cent of sales are exported to over 80 countries worldwide.  Production is concentrated in the UK where significant engineering know-how and automation underpins the Group's competitiveness.  The Group has approximately 350 employees.

Further information can be found on www.plasticscapital.com

 

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