LEXINGTON, Ky., May 27, 2005 (PRIMEZONE) -- Plasticon International Inc. (Pink Sheets:PLNI) today announced that the acquisition of Semco, Inc. will be a privately financed cash transaction. Private financing has been arranged due to the profitability of Semco.
"There will be no dilution of Plasticon's stock as a result of this transaction," said Jim Turek, President and CEO of Plasticon International. "This acquisition will add tremendous value to Plasticon. Semco's ground-breaking products literally have no competition in the marketplace. Our current distributor is the largest building materials distribution company in the nation. Should our distributor agree to distribute Semco's product line, the impact on our sales would be absolutely staggering. Their surfacing products are unique and they fill an extremely important and profitable niche. They have the only product on the market which truly prevents water damage. This problem has plagued the construction industry and cost the U.S. billions of dollars annually. Semco's products completely waterproof the structure they are bonding to."
Semco's products are able to waterproof the structure they adhere to because of the advanced technology behind their product line. Their products chemically link and bond with the surface they are applied to, which makes them essential to construction companies and distributors.
"Not only are their products unique," Mr. Turek said, "they also perfectly compliment our recycled plastic rebar support products. This would be product synergy at its best. A perfect example of this would be the application to bridge construction, which is a huge segment of construction industry. A very high percentage of bridges are plagued with water damage problems, and that's why companies increasingly have turned to Plasticon's rebar support products. Now we have the opportunity to sell Semco's concrete coating products to those same customers, which adds a critical layer of waterproofing protection."
Semco's products add years to the life of the structure by eliminating the absorption of water into concrete. Until now, water damage has corroded the metal rebar support which has been used in bridge construction in the past. Water damage costs the U.S. billions of dollars annually. "The combination of Plasticon's rebar supports, which are impervious to water because they are made from recycled plastic, and Semco's surfacing products, which completely waterproof the structure they are bonded to, is unprecedented in our sector," Mr. Turek said. "These two products, offered together, are the next killer application for the construction industry."
On May 31st, Mr. Turek will be featured on a webcast at www.thegreenbaron.com to discuss the acquisition and other recent developments at Plasticon International. For more information about Plasticon International, please visit www.plasticonintl.com.
About Plasticon International, Inc.
Plasticon International (www.plasticonintl.com) designs, produces, and distributes high-quality concrete accessories, transportation signage, plastic lumber, and office supplies which are all produced from recycled and recyclable plastics. Plasticon is a leader, an innovator of cutting edge design, engineering, and production of industrial and commercial products. Plasticon is a green Company, environmentally-friendly, using recycled plastics to produce its line of products.
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