A £1.5m investment in cutting edge plastic extrusion technology is set to deliver a 20-job boost for a Gateshead based company.
Thermodynamix Thermoforming Specialist Services Ltd (TDX), a leading player in the sector supplying and servicing thermo-formed plastic packaging manufacturers, will triple turnover and create the new jobs as a result of the decision to invest in a German-made production line.
The production line, which will manufacture plastic film for conversion into food packaging, will be heavily dependant on raw material from “post-consumer” plastic products such as waste carbonated drinks and mineral water bottles.
Historically, waste plastic bottles have been consigned to landfill but the increase in kerbside collection and recycling facilities has resulted in them being recycled for use in new packaging products.
TDX, which operates from the Team Valley Trading Estate, was founded nearly seven years ago by Managing Director Harry Reed and Operations Director Neil Atkinson. The founding Directors have been joined by Mark Prinn (Sales and Marketing Director) and Jeff Brunskill (Operations Director – Extrusion) who have taken board positions as well as making equity investments to help fund the expansion.
Staffing levels are set to increase from 50 to 70 and turnover is projected to rise from £3m to around £9m as a result of the investment in the “green machine” which is one of only a handful of such plants in the UK.
Yorkshire Bank’s Financial Solutions Centre (FSC) in Newcastle has provided asset finance totalling £950,000 to the company which will cement its position as the leading supplier of outsourced services to the thermo-forming packaging industry.
In addition to manufacturing plastic film, TDX designs and prototypes thermo-formed plastic packaging and manufactures the production tooling used to manufacture such products.
Harry Reed says: “Wherever you have plastic packaged products, in the supermarket, on the garage forecourt, on the high street, you will see the results of our work”
He adds: “The plastic packaging industry has become much more environmentally aware. The customer base that we will supply with our plastic sheet is, quite rightly, under increasing pressure to manufacture plastic packaging that is more sustainable and environmentally friendly than has been the case.
“Our ability to supply this market with a product that has significant environmental benefits, while still providing essential quality and functional performance, is a huge step forward and represents good news not just for our business and sector but for the environment as well.”
Yorkshire Bank Newcastle FSC Senior Partner Phil Empson says: “We’re always on the lookout to become involved with innovative and entrepreneurial local trading businesses.
“TDX fits the bill on both of these counts. The board of directors at TDX are forward thinking and determined that TDX should become even more of a market leader in their field. We were delighted to be able to assist them with their development plans by delivering asset finance, foreign exchange and international solutions via our team of integrated specialists. Cash flow facilities have also been provided to assist with the substantial sales growth expected at the company,” he said.