Axion to form joint venture with Sicut Holding Limited

Axion International has signed a non-binding letter of intent with Sicut Holding Limited to establish a global joint venture to capitalize on the worldwide railroad tie market through the manufacture and sale of recycled structural composite ties/sleepers. The joint venture will be 65 percent owned by Axion and 35 percent owned by Sicut. The new joint venture will be called Axion Rail, LLC, and will be established specifically to sell RSC ties to the global rail-tie market. This includes those in the large European markets, such as the UK, which replaces approximately 1 million sleepers annually, France, at 1.2 million sleepers annually and Germany at roughly 1 million sleepers annually. "Axion Rail will expand our economies of scale, so we can more effectively leverage our worldwide recycling pipeline to generate efficiencies in sourcing recycled plastic streams, enhance our supply chain management and ultimately lower our manufacturing costs," said Steve Silverman, Axion's president and CEO.