£12 million investment planned at Croydon facility

RNS Number : 2514Z

Zotefoams PLC

14 December 2017

 

Zotefoams plc

("Zotefoams" or the "Company" or "Group")

£12 MILLION INVESTMENT PLANNED
TO BOOST MANUFACTURING CAPACITY AT CROYDON FACILITY

14 December 2017 - Zotefoams, a world leader in cellular materials technology, is pleased to announce that it will invest approximately £12 million to increase capacity at its Croydon, UK site.

Over the past few years demand for High-Performance Products (HPP) has increased and with strong customer interest in this product range we expect demand to continue to grow significantly.

The planned investment announced today is to install low-pressure ("LP") autoclaves intended primarily for expansion of ZOTEK® HPP foams. The Company currently operates four smaller LP autoclaves for this range of products, two of which were commissioned in early 2017. The investment, in two larger LP autoclaves, buildings and associated infrastructure, will increase expansion capacity for the ZOTEK® foams product range by a factor of up to six times.

The Company expects the enhanced capacity to come on stream during 2019. 

Commenting on the investment David Stirling, Group CEO of Zotefoams, said:

"Our pipeline of opportunities to sell higher margin HPP materials is developing very positively and, with strong customer interest in our products, we believe that now is the right time to invest in increased manufacturing capacity to support our future growth."

Enquiries: Zotefoams plc	[phone]
David Stirling, Group CEO
Gary McGrath, Group CFO
IFC Advisory	[phone]
Graham Herring Miles Nolan

About Zotefoams plc

Zotefoams plc (LSE - ZTF) is a world leader in cellular materials technology. Using a unique manufacturing process with environmentally friendly nitrogen expansion, Zotefoams produces and sells lightweight AZOTE® polyolefin and ZOTEK® high-performance foams for diverse markets worldwide. Zotefoams uses its own cellular materials to manufacture T-FIT® advanced insulation for demanding industrial markets. In addition, Zotefoams owns and licenses patented MuCell® microcellular foam technology, developed specifically for extrusion applications, from a base in Massachusetts, USA to customers worldwide.

Zotefoams is headquartered in Croydon, UK, with additional manufacturing sites in Kentucky and Oklahoma, USA (foam products manufacture and conversion), Massachusetts, USA (MuCell Extrusion) and Jiangsu Province, China (T-FIT®).

www.zotefoams.com

AZOTE®, ZOTEK®, T-FIT® are registered trademarks of Zotefoams plc

MuCell® is a registered trademark of Trexel Inc.

 

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