Europe´s biggest manufacturer of consumer plastics, Keter Plastics (Herzliya / Israel), has acquired the UK consumer plastics business of Katy Industries (Middlebury, Connecticut / USA; www.katyindustries.com) through its subsidiary Jardin International Holding (Rijen / The Netherlands). The purchase price is around USD 4m, excluding the related real estate holdings, which are being sold separately. The company´s commercial plastics business in the UK is not affected by the deal.

The Katy home and consumer storage products are marketed mainly under the "Contico" brand name. The assets being sold include largely the injection moulding facility run by Contico Europe (www.contico.co.uk) in Redruth / UK, which is linked to Katy through its US subsidiary Contico Commercial Products (www.contico.com).

This company, with a production area of some 2500 m², manufactures primarily plastic storage containers for end consumers. Katy is retaining its business in professional appliances for maintenance and cleaning companies, including mops and accessories made of plastics – such as waste bins and service trolleys.

In 2005, Katy Industries had overall net sales of some USD 455m – figures for the assets being sold are not broken down. The group, with its 1,544 employees, is not operating profitably. Last year´s loss from continuing operations was USD 13.2m. Business developed better in the first nine months of 2006, when sales were USD 285.6m and the loss from continuing operations USD 4.75m.