Extrusion: Zotefoam buys 30% stake in MuCell

Zotefoams plc (Croydon, England; http://www.zotefoams.com), the world’s leading producer of cross-linked, closed-cell block foams, spent $3 million to acquire a 30% stake in MuCell Extrusion LLC, a subsidiary set up by Trexel Inc. to develop microcellular foam technology for extrusion.

Zotefoams will install a commercial-scale MuCell extrusion line in its Croydon factory to facilitate scale up of the MuCell extrusion technology for third-party licensees. Zotefoams will also become a licensee to develop microcellular foams.

Zotefoams’ investment includes an option to purchase 100% ownership. The earliest this option can be exercised is July 2010 but, depending on certain performance conditions, may be exercised as late as June 2011.—[email protected]