Dallas, Texas 12/23/2013 (FINANCIALSTRENDS) – Recently the Cereplast Inc (OTCMKTS:CERP) has provided an update on its Magna Litigation. Cereplast Inc which is a leading manufacturer of compostable, sustainable plastics and proprietary based plastic material. The company was recently challenged in court by the Magna Group LLC and Hanover Holdings LLC for the breach of contract, breach of fair dealing and breach of the covenant of good faith in the month of May, 2013.
In Southern District of Newyork the case was filed. As per the action the Magna group and Hanover holdings are seeking compensatory damages in unspecified amounts, and attorneys’ fees, plaintiff’s costs, and unspecified equitable or injunctive relief.
Overview of Cereplast Inc (OTCMKTS:CERP)
Cereplast Inc (OTCMKTS:CERP) also deals in injection molding, thermoforming, extrusions and blow molding process. The company offers very competitive rates for traditional plastics and also deal into the development of the bio based plastic material. The company also offers resins so that different customer demands can be met.
The resins offered by the Cereplast Inc perfect for single use applications and this is also useful for high bio based content and compost ability. All these factors are also ideal for food service industry and company is planning to offer more such solutions for them at a very competitive rate.
The resins also contain high bio based content that is highly durable and reliable and has more endurance as compared to the traditional plastic. Apart from food service industry the plastic solutions offered by Cereplast Inc are also being utilized in the automotive sector, packaging industry and the consumer electronics sector.
All the above mentioned points seems to be working in the favor of the company and many trade analysts have maintained a strong rating on this stock and are hopeful of having decent returns from this stock.