An up to $3,373,287.00 loan to the Russell County Industrial Development Authority (IDA) was closed recently by VCEDA to build out the Russell County shell building for Polycap LLC. From left, (seated) are Tom Lato, Polycap president; Jonathan Belcher, VCEDA executive director/general counsel; and (standing) Jean Jordan, VCEDA funds administrator; Lonzo Lester, Russell County administrator; Tony Dodi, Mayor, Town of Lebanon; Peter Gossmann, Polycap vice president; Lawrence Fine, Polycap; Ernie McFaddin, Russell County IDA chairman; and Katherine Patton, Russell County IDA legal counsel.
LEBANON, VA – APRIL 11, 2019 — A Canadian-based manufacturer of specialty plastic caps and closures will soon establish its first U.S. manufacturing facility in Russell County, Virginia, creating 48 new jobs within three years and 65 new jobs within five years at the Russell County Shell Building in Lebanon. In the process of establishing a presence in Lebanon, Virginia, the Canadian company will undergo a rebranding of its trade name to Polycap while continuing under the same corporate structure. An up to $3,373,287.00 loan to the Russell County Industrial Development Authority (IDA) was closed recently by the Virginia Coalfield Economic Development Authority (VCEDA) to build out the Russell County shell building for Polycap LLC.
“VCEDA was pleased to assist the Russell County IDA and the Town of Lebanon in recruiting this project to Lebanon,” said Jonathan Belcher, VCEDA executive director/general counsel. “The company will be providing jobs in a diversified manufacturing sector that will add to the excellent base of manufacturing companies already operating in the region, while providing good manufacturing jobs for the citizens of Russell County and the surrounding area.”
Polycap will manufacture specialty plastic caps and closures for the food and beverage, personal care, household, industrial, medical and pharmaceutical industries. The group, based in Toronto, Canada, has more than 50 years of experience as a critical supply chain partner to its major customers.
The VCEDA funding will be used to build out the existing 76,144 square foot Russell County shell building for the project. VCEDA also previously provided a $1,544,087.44 loan to the Russell County IDA for the original construction of the shell building, which was built as a spec building to attract new jobs to the region. VCEDA worked with the Russell County IDA, Russell County Board of Supervisors, Town of Lebanon, and the Virginia Economic Development Partnership to secure the project for Lebanon, Virginia.
VCEDA began conversations with the company’s officials in late 2016 and hosted the company on several visits to the area. In early December 2018, the company informed VCEDA it had selected the Lebanon shell building for its U.S. expansion project, choosing the Russell County location over others it was looking at outside of Virginia.
The Cumberland Plateau Planning District Commission, Virginia Community Capital, Southwest Virginia Workforce Development Board, Southwest Virginia Community College, area legislators including Senator Ben Chafin, Delegate Todd Pillion, Delegate Will Morefield, and others were involved in securing the project as well.
The new plant in Lebanon will become the company’s primary manufacturing facility and its U.S. headquarters.
About Virginia Coalfield Economic Development Authority and Southwest Virginia’s e-Region: The Virginia Coalfield Economic Development Authority, created by the Virginia General Assembly in 1988 to enhance and diversify the region’s economy and help create jobs, markets Southwest Virginia’s e-Region and its focus on electronic information technology, energy, education, emerging technologies, and entrepreneurship. VCEDA is a unique economic development organization that manages funds for economic development projects from a percentage of the coal and natural gas severance taxes paid by coal and natural gas companies that operate in the region. Located in southwestern Virginia, the region includes Buchanan, Dickenson, Lee, Russell, Scott, Tazewell, and Wise counties and the City of Norton. www.vceda.us or www.e-Region.org.