North America’s leading producer of advanced and sustainable solutions for insulation, cold chain packaging and protective equipment materials, Epsilyte Holdings LLC, took complete possession of the Canada based company Styrochem from PMC Capital Partners on Friday. The transaction details have not been disclosed.
Styrochem specializes in producing high-quality expandable polystyrene for food services, packaging, casting, construction, and speciality applications. The company’s expert engineering, design and manufacturing solutions have led the company to become North America’s sole producer of all four grades of expandable polystyrene that includes T-grade, block molding shape molding and lost foam.
The acquisition will establish Epsilyte’s foothold as the largest expandable polystyrene producer in North America with control over three production sites, gaining workforce of over 300 people and catering to customer demands across 20 countries.
Polystyrene is produced from styrene monomeric units using the suspension polymerization technique. Expanded polystyrene is a white coloured rigid solid that is produced from pre-expanded polystyrene beads. It is widely applied in food containers, building insulations, automotive and road safety applications.
As per ChemAnalyst, the global expanded polystyrene demand was valued at USD 9.5 billion in 2020 which is expected to grow further in the upcoming years with a CAGR of over 4% owing to the burgeoning packaging industry as well as the increasing construction activities with thermal insulation requirements.
Its chemical stability and recyclability make it a promising material for enhanced usage in the future. This acquisition is expected to work wonders for Epsilyte which will be able to establish a production base for sustainable customer solutions. Epsilyte’s polystyrene production is also expected to multiply in order to achieve an expanded polyester product portfolio.