Last checked at 5 Jul 2023 07:00
Completion and commissioning of key innovative equipment plant in Slovenia
Strengthening competitive advantage and accelerating growth with doubling of production capacity
A major step forward against backdrop of healthy pipeline, strong 2023 outlook and scope to win larger customer mandates
5 July 2023
Graft Polymer, (LON:GPL) the specialty chemicals company offering modified polymer solutions for refiners, compounders and processors, is today announcing the completion and commissioning of a bespoke production equipment site in Slovenia which is due around the end of July 2023, doubling the company's production capacity.
The company operates in two dynamic sectors with strong growth prospects - the global polymer market, set to grow from US$590 billion in 2021 to US$947 billion by 2030 with a CAGR of 5.4% over this period (source: Prescient & Strategic Intelligence); and the global drug delivery devices market, set to grow from US$78.09 billion in 2021 to US$124.83 billion by 2029, with a CAGR of 5.6% over the period (source: DataM market research, November 2022).
The commissioning of the site is an important development for Graft, as it leverages its IP for bio and pharma applications to expand the breadth of its product ranges and make the company's divisions quicker in responding to customer requirements. It is a key step towards the group realising its growth ambitions centred around expanding its global footprint, competing with well-established peers through its specialist approach focused on innovation and building cashflow generation.
Once operational, the Slovenian plant will effectively double the company's production capacity and heighten its first mover advantage as a market leading, pioneering operator in both research and technology commercialisation within the polymer modification, biological supplement and drug delivery industry. It marks significant progress in the company moving towards being able to satisfy demand for modified polymers for use in creating cutting edge composite materials on an industrial scale.
The company is targeting accelerating growth using its extensive commercial pipeline with production output at the Slovenian plant set to rise to 6,000 tonnes / year. The production process is fully ESG oriented, utilising high levels of recycled material.
Commenting on the development, Victor Bolduev, CEO, said: "The commissioning of this pivotal plant is testament to the group's increasing commercial momentum in a promising market with a continued strong outlook for this year. I am confident that it will play a major role in transforming our ability to win larger customer mandates and strengthen competitive positioning within the speciality chemicals sector, centred on our excellent innovation and specialist production capabilities. Our enlarged scale will also drive greater cashflow generation to the benefit of shareholders".
ENDS
For further information, visit www.graftpolymer.com,follow on Twitter @PolymerLtd or contact:
Graft Polymer (UK) Plc
Roby Zomer, Non Executive Chairman Via Flagstaff
Yifat Steur, CFO and Executive Chairman
Turner Pope Investments Tel:+44 (0) 20 3657 0050
James Pope
Andy Thaker
Flagstaff Strategic and Investor Communications Tel + 44 (0) 207 129 1474
Tim Thompson
Mark Edwards
Alison Allfrey