UG Group acquires Wellman International from Indorama, securing future of Irish recycling operations
The High Court in Ireland has approved the examiner’s scheme of arrangement for Wellman International, paving the way for a new ownership structure. The decision means that Indorama Ventures has achieved its aim of finding a new investor for the Irish operations, while preserving employment at the Mullagh-based recycling specialist.
Under the scheme, positions were reduced on a voluntary basis, with no forced departures. The examiner and management will now finalise the process so that new shares can be issued to UG World Ltd., part of Universal Green Group (UG Group), the UK-based decarbonisation and carbon solutions company.
UG Group has entered into exclusive discussions to invest in Wellman International and intends to work with employees, union representatives and suppliers to secure the long-term viability of the business. “Wellman is a hugely important element of a thriving sustainable circular economy. It ensures that waste plastics have a viable onward life,” said Magnus Hammick, founder and CEO of UG Group. He added that the company’s expertise and network in cleantech and waste management would help expand Wellman’s operations and revenues.
Wellman International is one of Europe’s leading producers of polyester fibre products made from recycled PET bottles. Each year, the company recycles hundreds of millions of bottles into fibre products. Prior to examinership, it operated as a subsidiary of Indorama Ventures.