SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) September 27, 1996
SPARTECH CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 1-5911 43-0761773
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
7733 Forsyth Blvd., Suite 1450, Clayton, Missouri 63105
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (314) 721-4242
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SPARTECH CORPORATION
FORM 8-K
Item 5. Other Events
On September 27, 1996, Spartech Corporation ("the Company") completed
its acquisition of the net operating assets of Hamelin Group Inc. (Hamelin).
Hamelin is a leading manufacturer of extruded plastic sheet, color
concentrate and molded food packaging, industrial & housewares products and
is based in Montreal, Canada. It has two extruded sheet plants, one color
concentrate facility and three molding operations located in Canada and a
molding operation located in the United States.
The acquisition was financed through a combination of additional
borrowings and a common stock equity offering of the Company.
Item 7. Financial Statements and Exhibits
Exhibits
2 Asset Purchase and Sale Agreement between Spartech Corporation, Hamelin
Group Inc., Hamelin Industries Inc., Robert Hamelin and Hamro Group,
Inc. dated June 7, 1996 (incorporated by reference to the correspond-
ing Exhibit filed by the Registrant with the Form 8-K dated June 7,
1996).
99 Spartech press release dated September 27, 1996.
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SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
SPARTECH CORPORATION
Date October 10, 1996 By /S/ Randy C. Martin
Randy C. Martin
Vice President-Finance and
Chief Financial Officer
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SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
SPARTECH CORPORATION
Date October 10, 1996 By
Randy C. Martin
Vice President-Finance and
Chief Financial Officer
3
EXHIBIT 99
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Company Contacts:
Bradley B. Buechler, President
and Chief Executive Officer
David B. Mueller, Executive V.P.
and Chief Operating Officer
For Immediate Release:
Friday, September 27, 1996
SPARTECH CORPORATION COMPLETES PURCHASE OF
THE NET ASSETS OF HAMELIN GROUP INC.
ST. LOUIS, MISSOURI, September 27, 1996 -- Spartech Corporation
(NYSE-SEH) announced today the completion of its purchase of the net assets of
Hamelin Group Inc.'s Extrusion, Color and Molding Divisions -- long-established
manufacturers of extruded plastic sheet, color concentrates and molded food
packaging, industrial & housewares products -- based in Montreal, Canada.
Spartech's President and Chief Executive Officer, Bradley B. Buechler,
stated, "This purchase, which includes two extrusion, one color and four molded
products facilities, is of strategic importance in further strengthening our
Spartech Plastics group -- expanding our share of the $1.1 billion North
American Custom Extruded Sheet & Rollstock Market to approximately 34%.
In addition, Hamelin's color concentrate facility and their molded products
group will complement well our recent acquisition of Portage Industries and
its significant volume in the growing plastics packaging industry."
Mr. Buechler further stated, "Spartech now has total annual production
capacity of approximately 600 million pounds in its three operating divisions
-- extruded sheet & rollstock (400 million), merchant compounding (150 million)
and molded products (50 million),
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respectively -- with annualized sales of nearly $500 million. The acquisition
price for Hamelin was approximately $57.7 million in cash and the assumption of
certain liabilities."
Spartech's Executive Vice President and Chief Operating Officer, David B.
Mueller, stated, "Spartech currently plans on placing additional equipment and
capital into the newly-acquired operations over the next 12-18 months. This
should enhance production efficiencies and more fully utilize each acquired
unit's current idle capacity which presently averages 15%-20%. Following such
equipment modifications and planned improvements, the new businesses should be
capable of producing operating income of 10%-12% annually."
Spartech is a leading manufacturer of engineered thermoplastic materials
and polymeric compounds which recently reported record fiscal 1996 nine months
results of $287.0 million in Sales, Net Earnings of $13.6 million and Fully
Diluted Earnings Per Share of $.55.
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