A metal can manufacturing company is building a facility in Roanoke County, and creating the largest single manufacturing investment in the county’s history.
Roanoke County leaders announced Tuesday that the Ardagh Group will move to the former Hanover Direct building on Hollins Road. The move is expected to create 96 new jobs.
Ardagh hopes to make 4.5 million cans per day at the Roanoke County plant. According to the company, 4.5 million cans is 5 percent of the entire U.S. canned food market.
The Luxembourg-based Ardagh Group will invest $93.5 million in real estate and equipment. $80 million of the investment is for equipment.
Ardagh Group needed another manufacturing facility after recently signing a deal with ConAgra. Ardagh will be hiring skilled machine operators, managers, and support staff.
The Roanoke County location was chosen over locations in Kentucky, North Carolina, Maryland, West Virginia, Pennsylvania, and Tennessee.
“We looked at many sites for our expansion and the decision to establish a Roanoke County facility was driven by factors such as the business tax structure, cost of living, infrastructure, logistic advantages, proximity to our major customer and the availability of skilled labor,” James Willich, CEO of Ardagh’s metal packaging business in the U.S., wrote in a news release “We look forward to beginning operations by the third quarter of 2014.”
Check back soon for more updates.
Here is the announcement about the new facility:
A global manufacturer of containers for the food and beverage industry today announced plans to locate a state-of-the-art metal can manufacturing facility in Roanoke County, creating 96 new jobs and investing $93.5 million in real estate and equipment. It is the largest single manufacturing investment in Roanoke County history.
Ardagh Group, a Luxembourg-based global leader in metal and glass packaging, has purchased the 525,000 square foot former Hanover Direct distribution center at 5022 Hollins Road.
Earlier this year the company signed a long term supply agreement with a major customer, ConAgra, requiring the company to add capacity in the eastern United States. It selected Roanoke County over locations in Kentucky, North Carolina, Maryland, West Virginia, Pennsylvania and Tennessee.
“We looked at many sites for our expansion and the decision to establish a Roanoke County facility was driven by factors such as the business tax structure, cost of living, infrastructure, logistic advantages, proximity to our major customer and the availability of skilled labor,” said James Willich, CEO of Ardagh’s metal packaging business in the U.S. “We look forward to beginning operations by the third quarter of 2014.”
The $93.5 million investment includes $80 million in equipment. The company is completely renovating the cavernous building to accommodate manufacturing of 4.5 million cans per day, which represents approximately 5 percent of the total U.S. food can market. Ardagh will be hiring skilled machine operators, managers, and support staff.
“Roanoke County welcomes a global manufacturing brand to Roanoke County,” said Michael Altizer, chairman of the Roanoke County Board of Supervisors. “This represents the largest single manufacturing investment in Roanoke County’s history, and we anticipate even greater long term investments from the company and its suppliers. We’re delighted that Ardagh has the confidence to invest in our region and we look forward to assisting them in this transition.”
Roanoke County worked with the Virginia Economic Development Partnership and the Roanoke Regional Partnership to secure the project. Governor McDonnell approved a $750,000 grant from the Governors Opportunity Fund. The company also will receive training funds from the Virginia Department of Business Assistance and will make application for industrial rail access funds from the Virginia Department of Rail and Public Transportation. Roanoke County is providing a performance based grant of up to $2,450,000 based on the company’s investment.
“We welcome Ardagh to the strong manufacturing sector in the Roanoke Region,” saidBeth Doughty, executive director the Roanoke Regional Partnership. “The reasons this location makes sense for Ardagh are the same reasons so many manufacturers prosper in this region.”
Ardagh Group (www.ardaghgroup.com) is a global leader in glass and metal packaging solutions for most of the world’s leading food, beverage and consumer brands. The company has more than 100 facilities and 18,000 employees in 25 countries producing 26.6 billion containers a year.
The company’s U.S. metal packaging operations are based in Carnegie, Pa. In addition to Roanoke, the company has facilities in Bloomsburg, Pa., Weirton, W.Va., Conklin, N.Y., Terminal Island, Calif., and Reno, Nev.