Athlone Extrusions is a bespoke manufacturer of co-extruded multilayer thermoplastic sheets and foils which are moulded and fabricated by its customers into components for the automotive, caravan, sanitary-ware, construction, furniture and engineering industries.
The company was formed in 1983 when a consortium of management, financial institutions and private investors acquired the business in receivership from its Italian owners, who had operated on the site extruding polystyrene sheet for the UK sanitary-ware market since 1971. Since then it has been through a management buyout in 1990, an IPO (1998), a takeover by radiators and plastics group Barlo (2001) and a further management buyout in 2004.
It employs 180 people in Athlone. Its core market is the UK, which currently represents about half of its turnover.
What vision/light bulb moment prompted you to start up in business?
When the original company, Athlone Manufacturing, went into receivership I saw the opportunity to acquire and develop the business based on my knowledge as an employee of the capability of the workforce and the potential market available for the product range.
What is your greatest business achievement to date?
The successful flotation on the Dublin and London Stock Exchanges in 1998.
What was your “back-to-the-wall” moment and how did you overcome it?
Being forced to scale back the business due to the impact of the global recession in 2009. This exercise caused redundancies in the workforce coupled with salary cuts for the staff remaining in the business.
What moment/deal would you cite as the “game changer” or turning point for the company?
The business was taken over by Barlo plc in 2001 and the “game changer” was buying the business back in 2004.
What were the best and the worst pieces of advice you received when starting out?
In 1990, the best advice was to buy the business; the worst was the contrary – ie not to buy it.
Describe your growth funding path?
Growth funding will be from our own resources from which in the current year we have invested €5 million in increasing capacity.
What is the hardest thing you have ever done in business?
Cutting jobs and wages/salaries in 2009.
What was your biggest business mistake?
During our years as a plc, our failure to complete a particular acquisition in mainland Europe after due diligence was completed. Although there was risk involved I probably overestimated this in the light of subsequent developments.
What “red tape” hampers growth most?
In general negotiating the tariff levels in some of the newer markets.
What is the one piece of advice you would give to Government to stimulate the economy?
Invest in young people; create more access to funding. Look at ways of stimulating the economy through tax (USC) cuts without impacting on the competitive nature of companies.
What is the most common mistake you see entrepreneurs make?
Running out of cash: in any business cash is king.
How will your market look in three years?
The plan is to reduce dependency on the UK market by finding other markets for our products and by developing higher added value products for all markets.
What is the single most important piece of advice you would offer to a less experienced entrepreneur?
Surround yourself with talented people.
What would make you a better leader?
Learning to delegate more.
Biggest luxury?
Walking the family farm with my dogs.
