Mesa, Arizona -- American Insulock, a manufacturer of polyurethane insulating blocks, is planning to establish a new manufacturing facility in Riydah, Saudi Arabia, in partnership with the Woodbridge Group, Al Mobty Group and the Hinduja Group (L&T Group), which, when completed, will produce 130 million Insulock Blocks per year.
Woodbridge and Al Mobty and have committed over $17 million to the project while American Insulock will retain a 20-percent stake, a 26 Jan American Insulock statement said. The Mesa, Arizona-based company is also investigating setting up new facilities in China, India, Iraq, South Africa, and Haiti, the statement added.
Woodbridge, a Canadian PU specialist, is manufacturing the company's Insulock Block product line in St. Louis, Missouri, for distribution in the US. Woodbridge acquired 10.43 percent of the outstanding common shares of American Insulock in October 2008.
The announcement is part of American Insulock's new corporate strategy, adopted following the appointment of new directors in early December 2009. The company said it is in the process of terminating all previous agreements, affiliations, relationships and alliances executed by the prior management.
New directors, Randy Innis (chairman), Cynthia Corbin (director) and Glen Roberts (director), were appointed after a group of American Insulock shareholders filed a resolution on 20 Oct 2009 with the Canadian province of British Columbia suggesting that American Insulock's then board of directors and upper management should be removed from office. At the core of shareholder complaints was the assertion that company officials had done an inadequate job of disclosing company financials and activities by way of annual general meetings or investor relations.
Insulock Blocks are hollow building blocks made using closed-cell PU, which are designedto be filled with concrete during construction. They replace thestandard grey concrete masonry units in construction applications. Theblocks have 5.5-inch round voids that allow them to interlock withoutthe use of mortar. (RD)