Unisphere Waste Conversion Ltd., an environmental solutions provider, has signed a Letter of Intent to acquire Chatham Rubber Manufacturing Corporation, Wellington Polymer Technology Inc and Entireco, subject to due diligence, financing, formal agreements, board and regulatory approval.
In keeping with the company’s growth plan and vertical integration strategy, Chatham Rubber of Chatham Ontario contributes crumbing operations in Ontario with long-term contracts, such as Enviroshake, and supply agreements with several large manufacturers and other distribution channels. Chatham Rubber has state-of-the-art shredding and crumbing equipment and is adding additional equipment to meet the increasing demand for product. Crumb rubber currently accounts for 24 per cent of the recycled-tire product in civil engineering, tire-derived fuels (TDF), and rubber mat companies. Emerging markets include golf courses, playgrounds and asphalt extenders. The Ontario Tire Stewardship Board is developing a mandate to remediate all existing tire sites in Ontario as well as control and disposal of the annual flow. Unisphere and Chatham Rubber are well positioned to secure existing tire supplies as well as part of the annual flow of tires in Ontario.
Entireco brings to Unisphere the potential rights to two of the largest scrap tire sites in Quebec consisting of over 300,000 tonnes of scrap tires along with lucrative government and private contracts to remediate scrap tires. Unisphere through Crumb Technologie, its wholly-owned subsidiary in Quebec combined with Entireco will support Recyc Quebec’s efforts to remediate all existing tires sites and control the annual flow in Quebec by 2008.
Wellington Polymer Technology is a leading alternative roofing manufacturer generating a product made from recycled tires and other waste streams to create a cedar shake replica. Wellington Polymer Technology Inc.’s Enviroshake was the winner of the 2001 Canadian Award of Excellence for Innovation. Enviroshake has a 50-year warranty and current demand far exceeds the supply of product. This trademarked environmental roofing product adds an additional revenue stream and further enhances Unisphere’s leading market position in Ontario.
Chatham Rubber also brings with it a substantial piece of real estate appraised at $9 million. This 320,000 square foot building on 32 acres houses the current Chatham Rubber and Wellington Polymer operations, including room to add more production lines, as well as long-term lease contracts with reliable tenants.
Contact Unisphere at 416-966-4555