STKL...Great news
Wednesday March 1, 10:27 am Eastern Time
Company Press Release
Stake Technology Acquires George F.
Pettinos (Canada) Limited
Acquisition Expected To Increase Sales by $15 Million
TORONTO--(BUSINESS WIRE)--March 1, 2000-- Mr. Jeremy Kendall, Chairman and CEO of
Stake Technology Ltd., (StakeTech) (NASDAQ:STKL - news) announced today that StakeTech
has acquired 100 percent of the shares of George F. Pettinos (Canada) Limited, also known as
PECAL. These shares were acquired from U.S. Silica Company of Berkeley Springs, West Virginia.
The acquisition of Pettinos will complement the business of the company's division, Barnes
Environmental International (BEI), a minerals supply and industrial recycling company.
``PECAL is a direct competitor of BEI in the sand, coated sand, bentonite, chromite, and zircon
businesses, and they have strengths in several other businesses that are closely related to BEI's
existing markets,' said Mr. Kendall. ``We are very pleased with how this transaction has developed,
PECAL adds to BEI's product lines in several key areas, and will help to build sales in Ontario and
the US.'
PECAL, located in Hamilton, Ontario is situated close to BEI's head office in Waterdown.
Manufacturing and supplying materials for the steel and foundry industry, PECAL has sales in the
range of $15 million per year, with a history of profitability and a broad customer base. It is
anticipated that synergies will permit the combined companies to reach sales as high as $40 million in
2000 - nearly doubling BEI's current sales, and improving margins significantly.
BEI is a wholly owned division of Stake Technology Ltd. BEI has three main product groups:
industrial minerals; abrasives and industrial recycling services. It now owns and operates a
distribution centre in Montreal as well as its newly constructed abrasives processing facility in New
Orleans.
Stake Technology Ltd. is an owner/operator of technology-based businesses in the environmental
sector. Currently, the company has three complementary business units: Steam Explosion, marketing
clean pulping technologies; Barnes Environmental, focussed on the recycling of industrial materials;
and Sunrich Inc., an agritech company. Each of these businesses has proprietary products and
services that win them a solid competitive advantage in their sectors.
Note: This news release may contain forward-looking information. Actual future results may differ
materially. All figures contained in this Press Release are in Canadian dollars. The risk, uncertainties
and other factors that could influence actual results are described in the Company's annual report to
shareholders and SEC reports.
Contact:
Stake Technology Ltd.
Jeremy N. Kendall, 905/ 455-1990
905/ 455-2529 (FAX)
E-mail: info@staketech.com
or
Stake Technology Ltd.
John Taylor, 905/ 455-1990
905/ 455-2529 (FAX) |
