Fylde coast plastics firm in £10m deal

It has acquired, in a £10m deal, Gloucestershire company Zyex which makes fibres from the polymer PEEK.

Victrex too has a track record of producing PEEK products for a variety of sectors world wide.

Victrex said today that the deal followed its strategy of following further downstream growth opportunities in the developing fibre applications area.

It has a strategy of focussing on selected semi-finished and differentiated products based on based on PEEK and PAEK polymers.

Beyond opportunities from existing applications, the investment will also enable Victrex to explore the potential of 3D printing within the fibres area, building on its own 3D printing consortium announced in 2016.

David Hummel, Chief Executive of Victrex, said: “The acquisition of Zyex is compelling for Victrex, enabling us to not only drive future growth opportunities within well-aligned markets and developing application areas, but to also secure some incremental revenue today.

“Like Victrex, Zyex was formed out of ICI and the two companies coming together is a natural evolution.

“While Zyex is well-established, Victrex’s global reach, innovation focus and proven track record of building new markets offers an attractive opportunity to further develop the business over the coming years.

“This is in line with our strategy to offer selected and differentiated semi-finished product forms and parts for our customers, building on our core polymer offering.”

Zyex had revenues of around £7m to March 31, 2016.

The business employs 22 people at its manufacturing facilities in Gloucestershire.

In 2015, Victrex bought a US firm Kleiss Gears Incorporated which makes gear wheels used in the automotive industry from polymers.

The group which employs more than 700 reported that for the period ending September 30, revenues of £252.3m down four per cent on the previous year and pre-tax profits of £100.3m down six per cent.

See also: Plastics company sees profits growth