Business
Major investment in new production facility in US
Major investment in new production facility in US.
About this update from Hardide Plc
[{"type":"text","content":"\n \nRNS Number : 8056C Hardide PLC 22 January 2015 \n \n\n \n \n22 January 2015\n \nHardide plc\n(\"Hardide\" or \"the Group\" or \"the Company\")\n \nMajor investment in new production facility in North America\n \nHardide plc (AIM: HDD), the provider of advanced surface coating technology, announces that it is to open a production facility in Virginia, USA. \n \nThe Company has signed a lease on a 26,000 square foot building in Martinsville, Henry County from where the Group will produce and supply its range of specialist Hardide coatings to the North American oil and gas, aerospace, flow control and advanced engineering markets. \n \nThe total cost of the investment will be circa US$7m (£4.5m), spread over three years, and will be funded from the Group's own resources, in line with the announcement in August 2014 of the successful equity placement, together with grant funding and other incentives of potentially circa $1.5m (£1.0m) from the Commonwealth of Virginia and Henry County. Production is expected to begin in the fourth quarter of 2015, with an objective to create 29 jobs over the next three years. Fit-out of the building and local recruitment is already underway. \n \nThe new facility is located within an Enterprise Zone in a state where more than 230 aerospace companies, the Commonwealth Center for Advanced Manufacturing and two Rolls-Royce facilities are based. It will house new and bespoke chemical vapour deposition (CVD) coating reactors as well as the latest pre-treatment, inspection, quality assurance and finishing equipment. \n \nPhilip Kirkham, CEO of Hardide plc said: \"Demand from customers in North America is developing well and a local manufacturing capability will increase the volume of business that is available to us. This move is consistent with our previously announced strategy of investing in capacity in the UK and US and will provide a strong platform for developing additional business with our existing customers as well as the diversification of our customer base. \n \n\"Martinsville, Virginia was chosen after a long and detailed evaluation of numerous locations in different states and we believe it makes a compelling economic and business case. It is a community that supports and en...