NEWS

Inteplast acquires Glendale's Gossen Corp.,

Thursday, Dec 15, 2016

Inteplast Group is acquiring Gossen Corp., which had been in the process of closing its operations and terminating nearly 100 Milwaukee-area employees.

Glendale-based Gossen, a manufacturer of residential PVC products, filed a notice with the state of Wisconsin earlier this fall saying it would shutter its operations and eliminate 92 jobs.

Inteplast, an integrated plastics manufacturer based in Livingston, N.J., said it will acquire the company and restore the more than 90 jobs set to be cut in Glendale and an additional 49 employees at the company's plant in Cartersville, Ga.

According to Inteplast, "this comes just 60 days after the 88-year-old company was placed into receivership by the Circuit Court for Milwaukee County and thereafter closed the doors of its plants located in Glendale, WI, and Cartersville, GA, due to its financial collapse."

The Court’s Order Approving Sale on Dec. 13 will allow Inteplast Group enough time to inform Gossen’s former workers of the opportunity to report back to the plants in time for production by month’s end. Director of operations Kyle Hintze, who is in charge of both the Wisconsin and Georgia plants, has begun notifying his former colleagues and expects that most employees will return to work.

Inteplast president Dr. John Young said that the purchase complements the group’s World-Pak division, which manufactures PVC building products such as decking, moulding and trim at its flagship Lolita, Texas, and Middlebury, Ind., plants. Young said the company opted to take over the plants even though they were being shut down.

“Gossen was well known to us by name and quality," said Young. "Our hearts were drawn to this acquisition mainly because of the massive layoff affecting the livelihoods of 143 people and their families. It was imperative for us to get the bid done and quickly resume operations.”

Gossen’s debt significantly exceeded $5.5 million resulting in a court-ordered receivership on Oct. 14. After failing to make its payroll, Gossen and Butterfield Holdings LLC came under receiver Michael Polsky’s charge through Chapter 128.

This Wisconsin liquidation proceeding allows the receiver to continue operations if economically feasible while searching for a purchaser for the company’s assets as a going concern, or as an orderly liquidation of the assets. All employees were given summary notice that the company could not continue its operations at its plants and warehouses and were laid off on Oct. 24.

 

Source: bizjournals.com

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