Hexpol restructuring U.K. operations

MANCHESTER, U.K.—Hexpol A.B. is in consultation with its work force for a planned restructuring of its United Kingdom operations, the Swedish compounder has confirmed to European Rubber Journal.

In a circular issued Dec. 16, Hexpol's U.K. subsidiary Berwin Industrial Polymers informed customers about plans to combine the operations of its two production sites in England.

"Berwin (is) proposing to combine its Lydney operation, carried out by Berwin Industrial Polymers Ltd., with its Manchester operation, carried out by Berwin Rubber Company Ltd.," the circular said.

The proposal would mean the transfer of the business to Manchester operation, it added.

Berwin said the decision was made due to the past two years proving "extremely volatile" in the U.K. compounding businesses.

The market, Berwin said, is facing "unprecedented challenges."

Hexpol did not provide further details about the restructuring, as consultation process with workforce is currently ongoing.

The Swedish group acquired Manchester-based compounder Berwin Group for $34 million in 2016.

At the time, Berwin said it employed over 200 people at U.K. sites in Dukinfield, Manchester and Lydney, with annual sales of around $54 million.

The company's compounds are used in tires, automotive seals and hoses and for applications in the aerospace, oil and gas, consumer goods and footwear industries.