New Jersey Firm Takes Over MyPlas Plant in Rogers
A plastics recycling facility in Rogers that abruptly shuttered shortly after opening is slated to come back online under new ownership.
The facility, which was originally opened by South Africa-based MyPlas about a year ago, is designed to repurpose materials like plastic bags for new uses. Despite years of planning and backing from some of Minnesota’s biggest companies, the plant quickly ran into issues and went dark. The Star Tribune reported in spring that the company was facing eviction over unpaid rent.
Now, New Brunswick, New Jersey-based recycling firm GDB International Inc. has come to the rescue. On Wednesday, the company announced plans to reopen the facility under its subsidiary GDB Circular.
When reached by phone, Sunil Bagaria, GDB International’s president and founder, said that his company has purchased the business, and it will continue to rent the building from its current owner. Built in 2001, the building is owned by an entity known as “Diamond Lake Rd Ind Own LLC,” according to Hennepin County property records. The entity’s name appears to be a reference to the structure’s address at 19850 Diamond Lake Road South in Rogers. Public records show that the facility last changed hands in 2021 for $27.3 million.
Bagaria said the opening date for the facility has not yet been determined as the company upgrades machinery and hires workers.
According to GDB’s LinkedIn page, the company operates more than 15 facilities across the United States.
A news release issued Wednesday by GDB said that GDB Circular is serving as the “lead investor” for the facility. The Minnesota corporate giants that initially backed the effort, meanwhile, are still on board: GDB’s statement said that General Mills, Schwan’s Co., and others are “investing in the revamped operation.” The project had initially received corporate support through the “MBOLD” coalition, an initiative by local economic development group Greater MSP. MBOLD member companies had invested just over $9 million in the project.
“These partnerships continue the shared commitment of this facility to pioneering a regional circular economy for flexible films, originally catalyzed by the MBOLD coalition,” GDB said in the release.
MyPlas’ role in the facility isn’t clear, but the release indicated that the company “continues its support of the operations.”
“Schwan’s is committed to GDB Circular (MN), Inc. because we believe it can make a meaningful impact on reducing the environmental impact of our packaging,” said Mark Mikol, Schwan’s senior director for packaging engineering. “It’s the right thing to do for our environment, our business and our region.”
MyPlas originally anticipated employing up to 300 people at the facility, which is built to convert plastic bags and other products into pelletized resin that can be used in plastic film. The company had initially planned to sell the product primarily to Wisconsin-based Charter Next Generation.