GDB acquires plastics recycling plant in Minnesota

New Jersey-based GDB International Inc., through its subsidiary GDB Circular (MN) Inc., is reopening the former Myplas USA plastic film recycling plant in Rogers, Minnesota.

Myplas USA, the U.S.-subsidiary of South African firm Myplas, opened the 170,000-square-foot facility in late 2023.

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The original facility was designed to recycle nearly 90 million pounds of end-of-life plastic per year, and Myplas founded it in collaboration with leading global businesses to catalyze a regional circular economy in the Upper Midwest for flexible film and packaging materials. It originally was funded by a joint $13 million equity investment by lead investors General Mills, Schwan’s Co. and Midwest-based film manufacturer Charter Next Generation, with supporting investors Target and Ecolab.

The Alliance to End Plastic Waste (AEPW), Closed Loop Partners and the Minnesota Department of Employment and Economic Development provided financial support to the facility.

However, according an article in The Minnesota Star Tribune, citing a lawsuit filed in April, Myplas USA had not paid rent on the facility since the start of this year and owed more than $389,000. An electrical contractor also filed an $895,000 lien for unpaid bills in March of this year.

Following the grand opening of the $30 million recycling plant in December, Myplas furloughed staff and shut down machinery earlier this year.

However, under its new ownership and backed by continued commitments across multiple stakeholders to strengthen plastics recycling infrastructure in the U.S., the Rogers facility now has an experienced management team with a deep understanding of recycling technology. It also will be adding new technology to increase the efficiency of materials recovery.

GDB International, which was established in 1993, operates a network of plastic recycling facilities across Wisconsin, Ohio, Tennessee and Florida, that includes processing facilities in New Brunswick and Mount Holly, New Jersey.

In addition to plastics recycling, the GDB group includes GDB Paints & Coatings, which is recognized as the largest recycler of used latex-based paints worldwide, and a comprehensive commodity trading division specializing in nonferrous metal scrap, recovered fiber and paper roll-stock. 

GDB Circular now owns the Rogers facility and serves as the lead investor, with General Mills, Schwan’s Co. and others investing in the revamped operation. These partners say they continue the shared commitment of this facility to pioneering a regional circular economy for flexible films originally catalyzed by MBOLD, a coalition of Minnesota-based food and agriculture business leaders. Additionally, Myplas SA continues its support of the operations, according to a news release about the facility’s new ownership. 

“We are thrilled to continue building on the original vision of creating a circular economy for flexibles and rigid polyolefins in the upper Midwest,” says Raj Bagaria, managing director of GDB Circular. “Together with ongoing support from our dedicated partners, GDB Circular (MN), Inc. is committed to growing a world-class plastics recycling facility that delivers sustainable solutions for businesses and communities across the region.” 

“We are proud to support GDB Circular (MN) Inc. to help create a sustainable solution for plastic film recycling in the Midwest,” adds Mary Jane Melendez, chief sustainability and global impact officer at General Mills. “This initiative boasts benefits to the environment [and] promotes economic development within our hometown community while showcasing what’s possible through collaboration.”