Construction Begins on Loparex Coating Capacity Expansion Project in the United States

en.Wedoany.com Reported - On November 9, U.S. release liner manufacturer Loparex held a groundbreaking ceremony for its new coating capacity expansion project at its Iowa City, Iowa plant, officially entering the construction phase. The project will add solvent-based coating production capacity and improve the operational reliability of the existing plant. The expansion is part of a three-year investment plan being implemented at the company's Iowa City facility, totaling approximately $50 million, covering coating capacity expansion, production facility reliability improvements, and ongoing operational capability development.

The new project will add coating equipment at the existing plant, with a focus on expanding production capacity for solvent-based coating processes to meet customers' ongoing supply needs for release liner materials. Steve McDowell, head of the company's Iowa City plant, said the project has completed several months of design, engineering, and construction planning work, and will now move into the equipment and production facility expansion phase following the official groundbreaking.

The expansion primarily targets the release liner paper and release film manufacturing businesses. Loparex's existing products serve markets including tapes, building materials, medical and hygiene, graphic materials, labels, and composites. The new solvent-based coating capacity will be integrated into the existing production system in Iowa City to support material supply and order growth for relevant customers.

Prior to the project launch, Loparex completed a comprehensive recapitalization on November 2, with participation from Monarch Alternative Capital and Atlantic Park, an investment vehicle of General Atlantic. The recapitalization involved reducing corporate debt, improving liquidity, and strengthening future investment capacity. The company has incorporated the Iowa City plant expansion into its long-term manufacturing facility investment plan and continues to advance production capacity development at its existing plants.