Plantic Technologies names Klöckner Pentaplast as new US distribution partner, replacing DuPont

Plantic Technologies (AIM: PLNT) has agreed terms with a new distribution partner in the America, realising the next phase of its expansion in its American operations. Privately owned Klöckner Pentaplast will replace DuPont (NYSE: DD) as Plantic's distributor for the rigid packaging film market in the Americas.

Klöckner Pentaplast will exclusively sell Plantic® rigid sheet products in the Americas, also under the agreement, Klöckner Pentaplast will manufacture Plantic's rigid film under licence in the future. This production will build on previously announced plans to manufacture Plantic resins in the US in conjunction with National Starch.

"We are excited about entering the next phase of Plantic® rigid films expansion into the Americas”, Plantic Chief Executive Brendan Morris said. “Klöckner Pentaplast is an established global market leader in rigid packaging films and has extensive knowledge of the packaging markets which will help foster growth of our product line."

The Klöckner Pentaplast Group is the major international producer of rigid film products with 19 production operations in 11 countries and sales of over US$1.6 billion. “The Plantic® product line complements our portfolio of plastic packaging films by offering a unique end-of-life disposal option.  Based on a renewable resource, this film offers our customers an option in helping meet their sustainable packaging goals", Klöckner Pentaplast’s Americas President, Michael Tubridy commented.

According to Plantic, Klöckner Pentaplast's dedicated sales force and its international manufacturing capability, the improved supply chain and Plantic's planned US resin plant will provide customers with more efficient and cost-effective access to Plantic® products.

Plantic has previously announced that it is working with a global leader in the compounded resin industry, with a view to completing agreements to manufacture under licence and market eco Plastic™ resins. This morning the company added that the evaluation period has commenced and the agreements provide for Plantic to work in conjunction with the proposed partner to develop a suite of new renewably sourced resins built on Plantic's proprietary technology.

Plantic develops and commercialises a range of environmentally friendly plastics, which are manufactured from renewable resources. Plantic's polymer technology is based on the use of high-amylose corn starch, a material derived from annual harvesting of specialized non-GM (hybrid) corn.  http://www.proactiveinvestors.co.uk/companies/news/13297/plantic-technologies-names-klckner-pentaplast-as-new-us-distribution-partner-replacing-dupont-13297.html