Construction factory to open in Szerenc thanks to Hungarian-Polish agreement

As part of a strategic partnership, Selena Group will acquire a stake in 50%, a major player in the Hungarian building materials market, Masterplast Nyrt. in the Szerencs glass wool manufacturing project, the signing of which was jointly announced by the parties on 29 June, according to a press release from the Hungarian company.

As part of Hungarian-Polish cooperation, the companies are jointly building a glass wool factory in Szerencs, having already begun the establishment of a mineral-based thermal insulation material production plant with the acquisition of Masterplast and PIMCO Kft.. We have previously written about the steps taken so far in the development of Masterplast.

Selena is raising €10 million in capital for the production development project company, which has been launched, and will continue the investment with Masterplast, acquiring a 50% stake, the press release points out

11500 square metre plant to be built

PIMCO Kft. has a 4.3-hectare industrial site in Szerenc, Hungary, prepared for factory construction, HUF 5.645 billion in non-refundable HIPA support and an investment project in advanced preparation. The project company has the necessary building and environmental permits and the suppliers of the manufacturing technology have been selected.

The new 11,500 square metre plant, with an investment of €47.5 million, will be capable of producing around 19,000 tonnes of glass wool insulation material per year and is scheduled to start commercial production in the first half of 2025.

After the completion of the investment, the management rights related to the management of the joint venture will be exercised by Masterplast, so that the performance of the company will be included in the consolidated results of the company.

Glass wool is made from recycled raw material

Sustainability is a key priority for the project. Glass wool, a member of the mineral-based insulation family, can be used to increase the energy efficiency of buildings, both in new construction and retrofit works. The market for mineral thermal insulation materials is expanding in line with increasing demands on energy consumption in buildings and supply chains have been characterised by shortages and slower performance in previous years.

Waste glass is one of the main raw materials of the product, which is recycled during the production process, according to the principles of circular economy. The plant will be equipped with environmentally friendly, state-of-the-art electric kiln production technology, partly powered by renewable energy sources.

"We are very proud to be working with Selena Group, an internationally recognised professional manufacturing partner, to develop a strategic mineral wool insulation material production development. This is a very important step that provides an opportunity to exploit synergies between the companies and further joint development. With this, we will now be able to build both projects with a professional partner after the rock wool production" - said Tibor Dávid Tibor, President of Masterplast.