Low & Bonar has recently announced that it intends to sell its Bonar Plastic Division to Promens hf, an Iceland headquartered global rotational moulder operating companies under the name of Saeplast and Plasti-Ned. Promens hf. is a wholly owned subsidiary of Atorka hf, an investment company quoted on the Icelandic stock exchange with a market value in excess of €200m. All Bonar’s plastics businesses, sites, and employees in Europe and North America will be part of the transaction.

The sale of the Plastics Division is conditional upon Low & Bonar plc shareholders approving the transaction. This is expected to take place by mid August when completion of the transaction is also envisaged.

The combination of Bonar and Promens will form the largest third party rotational moulder in the world with annual sales of some €140m. Bonar Plastics activities will become part of a Group whose strategic focus is the rotational moulding of plastics with a vision to create a group which will be the preferred partner in custom moulding worldwide and the number one supplier of containers to global material handling markets.

We are excited by this development as it supports our strategic goal to be a world-class supplier of rotationally moulded products and services and it will build on our focus to supply value added, differentiated products and services. We are confident that the enlarged group will be a positive development for all our business partners and employees.