Plastics Capital PLC (AIM; PLA), a fast-growing acquisitive plastics products manufacturer focused on proprietary products for niche markets, today announces that one of its subsidiaries, BNL (UK) Limited ("BNL"), the UK-based plastic bearing designer and manufacturer, is opening a factory in Thailand to streamline its supply chain and increase capacity as its operations continue to expand.
To accommodate future expansion and following significant growth over the past two years, BNL is establishing a purpose-built factory near Rayong, one of Thailand's thriving industrial and manufacturing centres. The new factory will be handed over to BNL in June and production will commence in October this year.
The factory will predominantly benefit BNL's local customers by bringing production closer to their own manufacturing bases. The site is also close to one of BNL's major suppliers, creating efficiencies throughout the entire supply chain.
Initially taking on assembly of parts for some Asia-based customers, there will be further opportunities to transfer other assembly work and moulding activities to the factory. A team of 50 assemblers will commence operations during August and September. Additional staff will operate seven new Krauss Maffei moulding machines ranging from 35 - 160 tonnes, bringing BNL's total machine count to 40.
Gavin Charlesworth, who joined BNL in May 2008, will oversee the Thailand operation as the Managing Director of BNL (Thailand) Limited. Gavin has lived and worked in Thailand for 10 years and is experienced in setting up operations in Thailand, Malaysia and China for international manufacturing giants such as Flextronics and Sanko Gosei. Neil Partlett, Managing Director, commenting on BNL's expansion in Asia said: "BNL's sustained growth means we have to plan for new capacity and this, combined with increasing sales of our products into Malaysia, China and other countries in Asia encouraged us to establish a new factory in Thailand."
Faisal Rahmatallah, Executive Chairman added: "This is an exciting step for BNL as it proves that in addition to the significant growth in the business over the last two years, a new manufacturing facility in Thailand should open up new opportunities for further expansion in the future."