PORT ALICE, BRITISH COLUMBIA, September 26 /CNW/ - Neucel Specialty
Cellulose is accelerating the second phase of its capital investment strategy
to keep pace with stronger-than-expected sales of its chemical cellulose
products. Neucel plans to spend approximately C$20 million of capital in
projects over the next twelve months to expand production and improve cost
efficiency at the company's primary manufacturing plant in Port Alice, British
Columbia. Neucel currently sells 100 percent of the product produced at the
"We are significantly ahead of schedule on sales, which provides us with
an exciting opportunity to ramp up production more quickly than originally
planned," said Ari Chaney, president and CEO of Neucel Specialty Cellulose.
"We are pursuing the same capital investment strategy, only on a more
Neucel has successfully finished the first phase of its capital program,
with a complete upgrade and refurbishment of key equipment in the Port Alice
mill. Additionally, Neucel recently installed a wash press at the mill to
increase the efficiency of production of high-purity grades of its chemical
cellulose products. "The installation of the wash press was an important
achievement for the mill. The wash press allows us to produce high grade
acetates more efficiently as well as enables us to serve customers that need
high-viscosity ether grades," said Ari Chaney.
Neucel produces hemlock based high-purity chemical cellulose for
pharmaceuticals, consumer products, film, food thickeners, fabrics, LCD
screens, eyeglass lenses, and other products.
Neucel Specialty Cellulose is owned by a consortium of investors, lead by
Wellspring Capital Management and GSC Group.
Wellspring is a New York-based private equity firm that has consistently
ranked among the top-performing private equity funds specializing in the
middle market. Wellspring currently manages more than $2 billion in equity
capital on behalf of some of the largest and most respected institutional
investors in the United States, Canada, and Europe.
GSC Group is a registered investment advisor with more than $24 billion
of assets under management. The firm specializes in credit-driven investing
including corporate credit, equity and distressed investing and real estate.
GSC Group, with over 180 employees, has offices in New Jersey, New York,
London and Los Angeles. GSC's investors include both institutional investors
and substantial net worth individuals seeking sophisticated and attractive
alternative investing opportunities. For more information about the firm,
please visit www.gsc.com.
For more information on Neucel Specialty Cellulose, visit the company
newsroom at www.neucel.com.
For further information:
For further information: Neucel Specialty Cellulose Brenda Allen,