When U.S. companies take over Canadian counterparts, all too often we see the Canadian production shipped south of the border.
That was the fear for Chatham’s Enviroshake when Headwaters Inc. was negotiating to purchase last fall. And that was the plan, according to Pat Smith, general manager of the Richmond Street operation that produces roof shakes and slate from recycled materials.
“They said in all probability they would move this facility to Michigan,” he said, where the Utah-headquartered company had an existing operation. “We showed them the people – here in our facility and in Chatham – and the CEO said we will now become the centre for manufacturing excellence for their entire line of roofing products.”
The two production lines currently in operation will double by the end of the year, and eventually expand to eight, Smith said. Enviroshake will go from 16 full-time staff to 60, and there’s potential for further growth if Enviroshake is given any production lines outside of the roofing stream.
“It bodes well. I have never seen a U.S. company buy a Canadian company and move their lines to Canada,” he said. “That’s a huge endorsement for Chatham-Kent.”
C-K Mayor Randy Hope is impressed with Enviroshake.
“Enviroshake makes it (C-K) greener,” he said. “They recycle used material into a new product that adds value to a house.”
Smith said the company began by just making shakes – which look like wooden shingles, but last much, much longer. The slate came into production only a few years ago, but now comprises 40% of Enviroshake’s business.
Both are made from polymer plastic, crumb rubber and wood fibre.