Tensar Meets Continuing Demand with Purchase of Partners' Share in Chinese Joint Venture

Tensar International, specialists in ground stabilisation and soil reinforcement solutions, is meeting continued demand from the civil engineering sector by buying out the £15 million manufacturing unit in China it had set up as a joint venture.
Jim Paul, Chief Executive of Tensar International commented: “2004/2005 saw record volume sales from our Shadsworth factory in Blackburn, and demand has continued in 2005 well above forecast levels. This has put enormous pressure on the factory, and on delivery times.
“To alleviate this, we have completed the full purchase of the plant in Hubei Province, China, that we had been developing as a joint venture with our Chinese partner to supply the rapidly growing national market. This will give us an immediate 40% increase in production capacity after start up at the end of July. Once full production volume is achieved, we will more than double our current capacity.”
“With our UK investors – 3i and Electra – we agreed to buy out our Chinese partners, so we now have the freedom to develop the plant and to supply areas outside China. Full Tensar ownership also means we can guarantee the same quality, inspection and control standards that our customers expect world wide. With many important and well publicised infrastructure projects in China in the next 4 to 10 years, as well as the Asia Pacific region in general, having the production capacity available locally will be highly advantageous.”