Environmental products and services group Straight (Leeds / UK; www.straight.co.uk) has acquired the business and certain assets of Helesi’s (Egio / Greece; www.helesi.com) UK operations for GBP 1.65m (EUR 1.8m) in cash. The money will be paid over a 10-month period commencing 30 April 2010. Established in 2004, Helesi UK manufactures two-wheeled waste bins at a factory in Bradford. Production at the factory was halted temporarily last year, although production at other Helesi plants in Europe continued – see Plasteurope.com of 09.10.2009. Straight has bought Bradford’s moulds and presses, which now will be used by one of its established manufacturing partners.

Helesi says the sale is part of an ongoing cost reduction strategy, which will allow it to reduce operating expenses and relocate funding to new markets. New facilities in northern Greece and Italy will make up for Bradford’s output. The UK business generated revenues of approximately EUR 4.4m (GBP 4m) in the six months to 30 June 2009, with profit before finance charges of EUR 0.3m.

Despite holding a 10-15% share of the UK wheeled bin market, Straight has never had a proprietary wheeled bin. The acquisition will allow it to begin selling the two-wheeled bins and to assume Helesi market position in the UK and Ireland alongside its customer contracts and supply agreements. The produce will be jointly branded “Straight” and “Helesi”, and Straight will pay Helesi an ongoing royalty for use of its brand. The deal also includes a provision under which Straight will become the exclusive UK and Irish distributor for other Helesi products, including four-wheeled plastic bins. It will also have first refusal to import and distribute any new products developed by Helesi.