A US based manufacturer and supplier of plastic resins and compounds is to buy Brazilian producer of resin-based concentrates and color compounds, Mash Compostos Plasticos for an undisclosed amount. Mash Compostos Plasticos is a Brazil-based masterbatch additive producer and engineered plastics compounder. The move is aimed at enabling the US firm gain considerably from the Brazilian market’s impressive macroeconomic fundamentals.

Joseph Gingo, A. Schulman chief executive officer and President noted the Brazilian market’s highly attractive nature given its size, diversity and robust macroeconomic vitals. The investment comes in the wake of another $200 million A. Schulman has done in 2010 for the acquisition of ICO, a compounder as well. According to Gingo, the Brazilian market presents one of the firm’s key markets that are crucial to Schulman’s overall growth strategy.

Schulman’s last major investment was in April, when it took over ICO Inc, inclusive of its two plants in Brazil. The Brazilian market is thus vital for Schulman’s progress into the future, in terms of growth; both inorganically and organically, said Gingo. Gingo further noted Brazil’s potential for growth of the market in terms of its relatively low per capita consumption of plastic, aspects he termed crucial for enhanced business.

Compared to per capita plastics consumption of around 130 kg in the US; Brazil's resin consumption amounts to 27 kg only. ICO Inc. in Brazil targeted rotational molding with cross linked PE foam, PE, and PP, with offices in São Paulo, Bahia, and Minas Gerais.

Headquartered in Akron, Ohio, A. Schulman employs approximately 2,000 people and has 16 manufacturing facilities in North America, Europe, Mexico and the Asia-Pacific region. A. Schulman stock is quoted through the Nasdaq National Market System.

A. Schulman is a leading international supplier of high-performance plastic compounds and resins, which are used as raw materials in a variety of markets. The Company's principal product lines consist of proprietary and custom-formulated engineered plastic compounds, color concentrates and additives that improve the appearance and performance of plastics in a number of specialized applications.

Technology centers in North America and Europe are devoted to new product development and color research. The Company's manufacturing facilities have their own product testing and quality control laboratories to ensure timely delivery of high-quality products to A. Schulman's global customer base.

Founded in 2004, Mash Compostos Plasticos produces a wide range of additive concentrates, fillers and glass fibres, resin blends, color concentrates and base resins.

20 Oct 2010.