Fraught plastic film recycling plant in Rogers reopening with new ownership

GDB International is taking the helm after MyPlas built the $30 million plant that quickly went under despite backing from companies like General Mills and Schwan’s.

The Minnesota Star Tribune
September 4, 2024 at 1:01PM
Plastic bags await shredding at the recycling facility in Rogers in December then run by MyPlas. GDB Circular is reopening the plant. (Shari L. Gross/The Minnesota Star Tribune)

New Jersey-based GDB International is taking control of the 160,000-square-foot facility that takes hard-to-recycle plastic bags and films and turns out recycled pellets for use in new plastic products.

The company’s subsidiary, GDB Circular, will run the plant, which had an initial goal of handling up to 90 million tons of plastic annually. The new owner did not share a planned re-opening date.

“We are thrilled to continue building on the original vision of creating a circular economy,” Raj Bagaria, managing director of GDB Circular, said in a prepared statement. “Together with ongoing support from our dedicated partners, [we are] committed to growing a world-class plastics recycling facility that delivers sustainable solutions for businesses and communities across the region.”

General Mills, Schwan’s and other local companies remain invested in the project, according to a news release.

“We believe it can make a meaningful impact on reducing the environmental impact of our packaging,” said Mark Mikol, senior director for packaging engineering at Schwan’s. “It’s the right thing to do for our environment, our business and our region.”

Many notable Minnesota institutions voiced or contributed support for the project when South African firm MyPlas first proposed and built it, committing a combined $9 million to the effort. The facility held its grand opening in December but quickly faced financial challenges.

After just a few months of operations, MyPlas furloughed employees and faced eviction because of roughly $400,000 in unpaid rent. The company and landlord later settled the case.

MyPlas “continues its support” of the recycling operation, the news release said.

GDB International runs plastic recycling centers in Wisconsin, Ohio, Tennessee and Florida. The company said it has made “significant new investments” to the plant at the Diamond Lake Industrial Center in Rogers, according to the release, and brought in “an experienced management team.”

GDB did not disclose financial terms of the deal.

Business coalition MBOLD, which helped build support for the project among contributors of plastic waste and potential users of recycled products, signaled its support for the new ownership.

“The continued commitment of all the major stakeholders is a testament to the strength of this vision,” said managing director JoAnne Berkenkamp.

about the writer

Brooks Johnson

Food and Manufacturing Reporter

Brooks Johnson is a business reporter covering Minnesota’s food industry, 3M and manufacturing trends.

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