PORTAGE, Mich.-Shareholder meetings to approve the purchase of Triple S Plastics Inc. by Finnish parts maker Eimo Oyj have been delayed in the wake of financial problems by Nokia Oyj, the largest customer of Triple S.
Telecommunications producer Nokia said in February that it planned to eliminate 800 jobs and shift some manufacturing to South Korea and Mexico.
Portage-based Triple S announced March 1 that it expects significantly weaker sales to Nokia for the next two fiscal years. Triple S also said it planned to review capacity at its two Texas plants.
Triple S stock, traded on Nasdaq, dropped 35 percent to $7.50 per share the morning of March 2.
In July, Lahti, Finland-based Eimo revealed plans to buy Triple S. Shareholders for both firms had decided to meet March 8 and 9 to approve the deal.
But the date was too soon after the Nokia news, said Phillip Weaver, vice president of human resources and administration for Triple S. The companies need time to re-evaluate sales and present accurate information to shareholders, he said.
The meeting will be rescheduled within 45 days, the timeline given to complete the sale, he said.
“We’re still going down the process to merge,” Weaver said. “It’s just taking a little longer while we gather updated information.”
