POLY Tower: Double-digit growth in exports

POLY Tower Ventures Bhd, whose initial public offering of three million shares has been oversubscribed by 74.59 times, expects double-digit growth in its export of plastic bags and films to the US and Africa next year. Group managing director Lew Chin Kwee said the forecast was in line with increasing demand from overseas markets as well as the company’s expansion into New York and Angola in Africa.
“The company is currently looking for an area for our sales office in New York,” he said after the balloting of Poly Tower shares in Kuala Lumpur on Saturday. Lew said the company was also appointing an agent in Angola . Its exports to the US and Africa currently account for 3.5% and 14.5% respectively of its total annual revenue.
Poly Tower, en route for a listing on the KLSE second board, exports about 95% of its output to 16 countries including, Britain, Japan, Taiwan, Czech Republic, South Africa, Australia and New Zealand.
Equipped with 57 plastic extrusion machines churning out 2,100 tonnes of output monthly, the company is focused on manufacturing a wide range of products from customised shopping bags, specialty shopping bags, garbage disposal bags to bio-degradable bags. It also produces construction and agriculture films.
The company’s customers consist of international supermarkets, hypermarket, retail chain stores, convenience shops and fast-food outlets like Tesco, Woolworths, Sainsbury, Greggs, Carrefour, Sogo, Bata, Shoprite, Nike, Laura Ashley, Homebase, Kentucky Fried Chicken, Spar, 7-Eleven and Smorgan Steel.
Poly Tower also has the technology to produce bio-degradable plastic bags, which could provide a new revenue stream.
It is planning to introduce new products including agriculture mulch films, industrial packaging films, bin liners, building industry films and landfill covers using totally degradable plastic additives.

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