news


Software helps design


new screws Twin screw extruder maker Entek has introduced a new software program that it claims “will enable customers to quickly and easily design screw and barrel layouts for their specific applications”. Key built in features of the


software include: drag and drop functionality on all components that need to be specified, such as barrel sections, screws and metallurgy; automatic calculation of the remaining space on the screw shafts; safeguards to prevent certain elements being placed where they do not belong; simpler part ordering; and easy saving within the programme or export to an Excel file once a design is complete. ❙ http://screwdesign.entek.com


Westlake finalises take- over of Axiall for $3.8bn


Westlake Chemical has agreed its proposed takeover of Axiall Corporation, which produces PVC as well as PVC products such as pipes and profiles. The deal is worth $33.00


per share, representing a total value of $3.8 billion. The transaction was approved by the boards of both companies, and is expected to be com- pleted by the end of this year. The deal will create the


third largest chlor-alkali producer and the second- largest PVC producer in North America, with expected combined revenues of $7.6 billion. Westlake expects annualised cost synergies of around $100m. Albert Chao, Westlake’s


president and CEO, said: “This transaction aligns two


Chao: “The transaction aligns two remarkable companies and accelerates our growth strategy”


remarkable companies, creates a company with greater financial and opera- tional flexibility and acceler- ates our growth strategy.” The transaction requires


approval by Axiall’s stockhold- ers, as well as antitrust


ADS posts sales and profits rise


US pipe manufacturer Advanced Drainage Systems (ADS) has posted increased sales and profits for this year. In the year ending 31 March 2016, the company increased sales by more than 9% to reach almost $1.3bn. At the same time, profitability (EBITDA) swelled by 29% to reach almost $186m.


Joe Chlapaty, chairman and CEO, said: “In fiscal year 2016, net sales growth was driven primarily by healthy conver- sion and favourable weather conditions in the majority of our end markets.” Sales were particularly


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$1.38bn – a growth of 2-6%. At the same time, EBITDA is expected to be in the range of $205m to $230m, representing a growth of 10-25%). Scott Cottrill, chief financial


Healthy end markets helped boost sales at pipemaker ADS


strong in the second half of the year, with net sales growth of nearly 12% in the third quarter and 18% in the fourth quarter. This more than offset a slow start to the year, he said. “Our performance in the


PIPE & PROFILE EXTRUSION | July/August 2016


domestic construction markets was also strong, as we grew 10.6% for the year compared to the estimated market growth of only 5%,” said Chlapaty. The company is forecasting 2017 sales of $1.33bn to


officer, added: “Our guidance for fiscal year 2017 reflects anticipated overall domestic end market growth of 4-7% in our construction-related end markets and a decline of 5-12% in the agriculture market. He added that international


net sales were expected to be relatively soft, driven by a weak Mexican economy and flat sales in Canada. ❙ www.ads-pipe.com


www.pipeandprofile.com


authorities. In conjunction with the merger agreement, Westlake agreed to withdraw its nomination of a slate of director nominees. Among the potential benefits of the merger, the companies cited further downstream integration into PVC building products – which is expected to provide additional operational certainty and growth opportunities. Axiall initially rejected


Westlake’s offer of around $3.1bn as “opportunistic and inadequate”. It urged its shareholders to vote for its nominees to the board. Westlake, as part of its bid, had nominated a set of nine directors for Axiall’s board. ❙ www.westlake.com ❙ www.axiall.com


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