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Tag: Shenandoah County

First National to acquire Prince George-based community bank

Strasburg-based First National has entered into a definitive merger agreement to acquire Prince George-based Touchstone Bankshares in an all-stock transaction worth approximately $47 million, First National announced Tuesday.

The parent companies’ merger combines community banks First Bank and Touchstone Bank to create a bank with expected total assets of about $2.1 billion, $1.5 billion in loans and $1.8 billion in deposits. The resulting company is expected to be the ninth largest Virginia community bank by deposits.

The combined company will have 30 branch offices across Virginia and two branches in North Carolina.

“We are thrilled to have found a partner with an equally long history of serving and supporting local customers and businesses in their communities,” First National President and CEO Scott Harvard said in a statement. “Combining our companies will help ensure that we continue to be part of the fabric of the communities we serve. … We are incredibly excited about this opportunity to expand our Richmond metro presence with the addition of seven branches in the market, and we look forward to welcoming the entire Touchstone team into the First Bank family.”

In the metro Richmond area, where it’s expected to have eight branches, the combined company’s deposits are expected to exceed $350 million.

According to the terms of the agreement, Touchstone shareholders will receive 0.8122 shares of First National stock for each share of Touchstone stock. Based on First National’s closing stock price of $17.55 on March 22, the deal’s approximate aggregate value is $47 million, or $14.25 per share of Touchstone stock.

“First National is a like-minded partner that shares our culture of supporting our communities by focusing on building meaningful relationships and personalized service to their customers,” Touchstone President and CEO James Black said in a statement. “We are enthusiastic about the opportunity to partner with First National in a transaction that we believe offers significant opportunities to our clients, communities, employees and shareholders.”

The companies’ boards of directors have unanimously approved the merger agreement. The transaction is expected to close in the fourth quarter, subject to shareholder and regulatory approvals.

First National and First Bank will appoint three Touchstone directors to join the existing nine directors on each board. Black will join First Bank as an executive vice president and south region president.

Founded in 1906 as Bank of Dinwiddie, Touchstone currently has 12 branches across the metro Richmond area, south Central Virginia and northern North Carolina. As of Dec. 31, 2023, Touchstone reported total assets of $658.7 million, gross loans of $508.8 million and total deposits of $542.2 million.

First National is the holding company of First Bank, which opened in 1907. The company has 20 bank branches throughout the Shenandoah Valley, Central Virginia and the Roanoke Valley, as well as a customer service center in a retirement community and a loan production office. First Bank also operates First Bank Wealth Management and owns First Bank Financial Services, which invests in investment service and title insurance providers.

Shentel to sell cell towers portfolio for $310.3M

Shenandoah Telecommunications (Shentel) has entered into an agreement to sell its portfolio of cellular towers and associated operations to Vertical Bridge Holdco for $310.3 million in cash, the Edinburg-based company announced Friday, a move that appears to largely transition Shentel out of the last remnants of its cellular phone business. Vertical Bridge is the nation’s largest private owner of communications towers.

“The proceeds from the sale of our tower business will provide Shentel with additional growth capital to support the planned expansion of our Glo Fiber line of business to approximately 600,000 homes and business passings by the end of 2026,” Shentel President and CEO Christopher E. French said in a statement. “With the expected closing of this transaction and the previously announced $356 million of committed financings supporting our pending acquisition of Horizon Telcom, we believe our capital structure is well balanced and will provide future financial flexibility.”

Shentel announced its plans to acquire Horizon Telcom for $385 million in October 2023.

The Shentel Tower Portfolio consists of 226 tower portfolio sites, including 218 macro cellular towers and eight small cell sites. Shentel will keep one macro cellular tower that is not included in the sale. T-Mobile USA was the primary customer for Shentel’s cell towers. Shentel previously sold other components of its cellular phone business to T-Mobile USA, selling its wireless assets and operations for $1.94 billion in a deal that closed July 1, 2021. 

“We are pleased to add these purpose-built broadband telephony towers to our growing portfolio,” Vertical Bridge President and CEO Ron Bizick said in a statement. “The towers are high-quality assets with available capacity for additional tenants and are located in difficult areas to build new towers due to zoning restrictions and terrain challenges. The geographic concentration of the portfolio offers a unique opportunity for future deployment of existing and new technologies.”

Shentel isn’t the only U.S. telecommunications company selling its cell towers. In August 2023, Chicago-based Telephone and Data Systems and United States Cellular announced each was initiating “a process to explore strategic alternatives for UScellular.” At the end of the second quarter of 2023, TDS owned 83% of UScellular. As of Dec. 31, 2023, UScellular owned 4,373 towers.

Shentel has been focused on growing its Glo Fiber business, an optical fiber home and business broadband service, within and outside of Virginia. In January, the company launched the service in initial neighborhoods in Spring Garden Township, Pennsylvania, expecting to complete construction by the end of the year and serve more than 4,500 homes and businesses in the area. Also in January, Shentel announced it would deploy Glo Fiber in Springettsbury Township, Pennsylvania, with construction slated to begin in 2025.

In February, the company announced it would deploy Glo Fiber in Kingsmill in Williamsburg, with construction expected to begin in the third quarter of 2024. Shentel also announced in February a colocation agreement with CoreSite to provide Glo Fiber Business service in Washington, D.C.

Shentel expects a March closing for the towers deal with Boca Raton, Florida-based Vertical Bridge, which will pay the $310.3 million on the initial closing date. “Subsequent closings will occur as closing conditions are met for any remaining sites,” according to a news release.

Shentel expects to pay up to $10 million in 2024 income taxes as a result of the gain on the sale after net operating loss carryforwards. The tower portfolio generated $18.6 million in revenue, $9.5 million of operating income and $11.6 million of adjusted EBITDA in 2023.

Shentel provides broadband services to customers in Virginia, Maryland, West Virginia, Kentucky and Pennsylvania. The company owns a regional network with about 9,900 route miles of fiber. As of summer 2023, Shentel had 649 employees in Virginia out of a total workforce of 845.

Vertical Bridge REIT is a private owner and operator of communications infrastructure and locations. Its portfolio has more than 500,000 sites, including towers, rooftops, billboards, utility attachments, convenience stores and other locations that support wireless network deployments, spread across all 50 states and Puerto Rico.

A time to build

The Shenandoah Valley Partnership had more economic development activity than “anyone anticipated in 2022,” says Jay Langston, the partnership’s executive director.

During the calendar year, the partnership saw close to $140 million in investment and 520 jobs. 

In Fishersville, Amazon.com Inc. is building a $120 million, 1 million-square-foot nonsortable fulfillment center, which handles bulky or large items such as patio furniture, outdoor equipment or rugs. The building, 85% complete as of late January, is expected to be finished this spring, according to Langston.

“I’ve been in this business for 38 years and never had a project like that come in so fast,” he adds. “It was the right place and the right time. Augusta County did a superb job working with consultants and engineers. It was a huge team effort.”

Additionally, Rockingham Cooperative in Rockingham County will invest nearly $17 million to upgrade and expand its grain handling and feed manufacturing operations, adding up to 20 jobs.

“This is a major investment because of the growth of agriculture in the region,” Langston says. “We have four of the top five agriculture top-producing counties in Virginia in this region.”

Augusta County

Augusta County’s economy held strong with the February 2022 announcement of Amazon’s nonsortable fulfillment center.

With 21% of the county’s workforce in manufacturing, “job openings in that sector, particularly, continued to grow,” says Rebekah Castle, the county’s director of economic development and marketing. “There continues to be great potential for growth with growing job openings and programs like Blue Ridge Community College’s Job Starter, paid training providing the skills … needed to be successful starting a job in advanced manufacturing.”

Harrisonburg

“Active and productive” are the words Brian Shull, Harrisonburg’s economic development director, uses to describe the city’s economic development in 2022.

Farmer Focus completed construction on its organic chicken packaging facility, a $65 million-plus project in northern Harrisonburg, in February 2022.

“This project led to enhanced business interest in surrounding greenfield sites,” undeveloped land that can be used for commercial or residential development, Shull says. 

Lauf Cycling, an Icelandic high-end bicycle manufacturer, selected Harrisonburg for its U.S. headquarters, including a showroom and distribution center. The company made the announcement in April 2022 and signed a five-year lease for a 6,500-square-foot shell building in downtown Harrisonburg at 156 E. Washington St., which the bike maker plans to build out. Lauf’s projections call for hiring approximately eight employees in three years. Capital investment figures for the facility build-out have not been released.

“Harrisonburg has such a strong cycling and outdoor recreation culture,” Shull says. “Lauf quickly recognized this asset and wanted to be part of it.”

Harrisonburg Innovation Hub (HIH), a coworking center, is expected to open in the former Wetsel Seed building downtown late this year. The HIH team purchased the 25,648-square-foot building for $2.88 million and expects the purchase and renovation costs to total $4.5 million. The space will offer up to 60 offices, rooftop event space and an AV production studio, developers say.

In addition, Blue Ridge Rubber & Industrial Products Co., an industrial rubber hose fabricator, is investing $700,000 to expand its Harrisonburg manufacturing facility on Acorn Drive, near Eastern Mennonite University.

Thanks to increased tourism spending and James Madison University’s first year in the Sun Belt Conference, Harrisonburg also experienced a healthy bounce in hospitality sector tax revenue in 2022. Compared with 2021, Harrisonburg saw a 15.8% jump in meals tax revenue, a 12.1% rise in lodging tax revenue and a 9.2% increase in sales tax revenue.

Rockbridge County

The past year was the most productive year Rockbridge County had seen in economic development over the last five years.

“In addition to establishing an office of economic development, the county started developing its first strategic economic development plan to guide future economic development efforts,” reports Brandy Flint, the county’s director of economic development. “We have two new commercial construction projects underway and two more to start next year.”

The estimated value of all 2022 commercial building permits, including new construction and renovations, was “approximately $18.6 million,” she adds.

The conversion of a Modine Manufacturing Co. warehouse into a manufacturing plant was a $7 million project that kicked off in 2021, with work completed in November 2022. “That project has continued into 2022 with an increased scope of work and additional employment,” Flint says, noting the plant’s projected 60 jobs has increased to 73 because of an increase in sales.

Rockingham County

Rockingham County’s growth in 2022 was a balance of new and existing business expansions and announcements.

“The county is fortunate to have such a diverse economic base of manufacturing, food and beverage and service-related businesses throughout the community,” says Joshua Gooden, the county’s economic development and tourism coordinator.

In 2021, Veronesi Holding S.p.A. selected the county to become the first North American location for its cured meat processing facility located in Innovation Village @ Rockingham. The Italian company broke ground in February 2022 on the facility, which is anticipated to be completed this spring. The plant is expected to bring 150 jobs to the county.

Meanwhile, Gooden says, the $6.5 million expansion of Virginia Industrial Plastics Inc.’s plant in Rockingham, a project that was expected to create 92 jobs, has been delayed. The project was announced in 2021.

Shenandoah County

Shenandoah County saw a dramatic increase in the number of leads and interest in properties throughout 2022, says Jenna French, the county’s director of tourism and economic development.

“Our industrial development authority entered into an option-to-purchase agreement on a 21-acre parcel in the Northern Shenandoah Business Park in Strasburg, and one of our larger parcels of industrially zoned land recently sold in the Toms Brook area,” she says.

Shenandoah crossed the finish line with one of its larger tourism projects, a $109 million wellness and nature resort known as Simply Shenandoah, which is slated to break ground this spring and open to guests in 2024. The deal is expected to create 125 jobs.

“With tourism being the second largest industry in our county, this is a welcome addition that fills a unique niche for the county, offering a higher end experience and additional lodging opportunities,” French says.

Waynesboro

Waynesboro’s economic development wins were a bit smaller than those in other localities, but Greg Hitchin, the city’s director of economic development and tourism, notes, “We opened five businesses this summer, and all are doing well.”

Also, the Virginia Museum of Natural History’s Waynesboro campus is moving forward, with the design phase set to end in June 2023. Contingent on General Assembly funding, groundbreaking is tentatively scheduled for 2024, with a spring or summer 2026 opening. The city expects the museum to draw more than 65,000 visitors annually.

Winchester

In Winchester, one of 2022’s major economic wins was the redevelopment of the Winchester Towers property, with Lynx Ventures LLC leading a mixed-use project with 175 residential units and a structured parking facility, as well as retail and dining space.

“Combining the housing with the services enhances socialization and provides the businesses with ready consumer activity. It’s a win-win for all involved,” says Winchester Mayor John David Smith Jr.

The city’s economic development authority leveraged the state’s enterprise zone program to facilitate an $11 million expansion of Continental AG, generating 67 manufacturing jobs as well as other investments. The authority didn’t provide incentive details.

In December 2021, TFC Poultry LLC announced it would invest $31.5 million to establish its second U.S. production facility in Winchester at the former Sunshine’s Pride Dairy facility, which was expected to open by April. The project is anticipated to create 111 jobs.

Trex Company Inc., one of the major brands of composite decking, is building a $7 million, 64,000-square-foot global headquarters and adding 200 employees. (See related story.) Announced in January 2022, construction is underway with completion anticipated in the third quarter of 2023.

Wholesome Foods to expand in Shenandoah County

Wholesome Foods Inc. will expand its meat processing operation in Shenandoah County by adding a new, USDA-inspected slaughter facility with a $1.2 million investment, creating 12 jobs, Gov. Glenn Youngkin announced Thursday.

Nearly all the livestock used at the new facility will be sourced from Virginia farms, according to Youngkin’s office.

“We are excited to grow our business with the help of the commonwealth and Shenandoah County through the AFID program,” Wholesome Foods President Wes Pence said in a statement. “This expansion will increase our capacity, add jobs to our work force and provide a much-needed service to the community and local farmers for years to come.”

The family-owned business has been part of Shenandoah County’s business and agricultural scene for more than 50 years. Established in 1964 by Dean and Syvilla Pence as a home delivery service of poultry, meat and eggs to the Washington, D.C.-area market, the company has grown into a full-scale food distributor and now supplies wholesale accounts in the mid-Atlantic, as well as serving consumers with meat and cheese. After experiencing backlogs from local meat processors the company relied on for beef and pork products, Wholesale Foods decided to add in-house slaughter capacity at its existing operation and expanding its meat processing capabilities, according to a news release.

“As Virginia’s largest private industry, our agricultural sector draws its strength from the diversity of production and the entrepreneurial spirit of families like the Pences, whose company has served the Shenandoah community for more than 50 years,” Youngkin said in a statement. “I thank Wholesome Foods for its commitment to the commonwealth and wish them success in the future serving the farmers and consumers of Virginia and beyond.” 

The Virginia Department of Agricultural Services worked with Shenandoah County and the Shenandoah County Industrial Development Authority to secure the project. Youngkin approved a $40,000 grant from the Governor’s Agriculture and Forestry Industries Development Fund. Shenandoah County will match it with local funds.

 

Return to form

In terms of business activity and economic development wins, 2021 turned out to be a stellar year for the Shenandoah Valley.

“We have exceeded what we anticipated from a business activity perspective,” says Jay Langston, executive director of the Shenandoah Valley Partnership, which promotes economic development from Shenandoah County to Rockbridge County. “When government shut down in 2020, we thought, ‘What in the world are we going to do?’ That lasted about a month. We only saw a temporary blip in business activity, and it came back in a big way.”

Last year, the partnership collaborated with localities and businesses on more than $165 million in investments, expected to bring in 650 jobs. Those deals include a $30 million investment from the D.C.-based Mediterranean restaurant chain Cava to open a processing and packaging facility near Staunton, and bringing in Veronesi Holding S.p.A., an Italian manufacturer and producer of cured meats, which will establish its first U.S. production operation in Rockingham County.

The partnership is finding that some of the measures it adopted during the pandemic are ones it will continue to maintain.

“Doing business the same old way doesn’t work in the current dynamic environment,” Langston says. “The virtual environment allowed us to deliver our message in more efficient ways. Also, we are much more heavily engaged in outreach marketing with high return-on-investment programs, and we are paying much more attention to talent retention and attraction, as well as quality-of-life messaging.”

There is tremendous cohesion in the valley regarding the area’s economic prosperity, even though “sub-regions have different goals and means of achieving them,” Langston says. “We have been blessed by a region that collaborates and works to solve problems.”

Rockingham County and Harrisonburg

“Securing the deal with Veronesi was a substantial win for us,” says Casey Armstrong, assistant county administrator and director of economic development. “It will help to diversify our financial portfolio. We are dependent on the agricultural and food and beverage industry, and this facility will diversify us and makes us more resilient.”

Veronesi plans to invest more than $100 million and create more than 150 jobs during the next four years. The company’s new facility, located in Innovation Village, will be used to age, process and package products for distribution, increasing its cured meat and charcuterie customer base in the U.S. market.

“This is the company’s first facility in the U.S., and it will be their U.S. headquarters,” Armstrong says. “Phase 1 of the project is scheduled to open by the end of 2022 or the first [part] of 2023.”

Merck & Co. Inc.’s $1 billion expansion of its Rockingham County pharmaceutical manufacturing plant, announced in 2019, is underway and is providing revenue for local tradespeople, restaurants and hotels. “They have over 1,000 employees on the job alone,” Armstrong says. “That deal was a big win for us.”

Additionally, Virginia Industrial Plastics Inc. is investing more than $6.5 million to expand its manufacturing facility in the county, a deal announced in September 2021. The plastic thermoforming and fabrication company will add 92 jobs with the expansion, which will allow the company to increase capacity for its company-owned product lines, Cabinet Savers and VIP Golf Cars.

The city of Harrisonburg worked with more international companies last year than in previous years. For example, Sibo Group, a Slovenian manufacturer of closure solutions, will invest $2.6 million to establish its U.S. corporate headquarters and a new manufacturing operation. The project is set to create 24 jobs. 

“Sibo USA has been a great project for Harrisonburg,” says the city’s economic development director, Brian Shull. “The lead was generated by Montebello Packaging, a city manufacturer of plastic tubes for the pharmaceutical and health care industries. Sibo has been supplying caps and closure to Montebello for years, but they were being manufactured in Slovenia and shipped to the Harrisonburg facility. Montebello offered manufacturing space to Sibo within its city facility.”

The city also is assisting with Shenandoah Valley Organic’s construction project, a $65.5 million deal that was inked in 2020 and will create 110 jobs.

The rapidly growing organic chicken company, marketed as Farmer Focus, has reached substantial completion of its 76,000-square-foot retail packaging facility, where production was slated to start in the first quarter of this year.

Augusta County and Waynesboro

Augusta County’s efforts to target advanced manufacturing companies, particularly in the food and beverage industry, paid off in September when Cava, the Washington, D.C.-based fast-casual Mediterranean restaurant chain, announced its decision to open a 57,000-square-foot processing and packaging operation to produce its dips and spreads in Mill Place Commerce Park, the county’s publicly owned business park. Cava plans to invest more than $30 million and create 52 jobs.

“It’s a great fit for the county,” says Rebekah Castle, Augusta’s director of economic development and marketing. “The company is wonderful to work with, and we are looking forward to their opening in the next few years.”

Meanwhile, Waynesboro is in a renaissance phase, working with small local businesses, as well as courting expansions and new development, says Greg Hitchin, the city’s director of economic development and tourism. “We have weathered the storm of COVID-19 pretty well. Most of our manufacturing firms are in hiring mode now.”

Waynesboro, Augusta County and North Carolina-based private developer Mitchener Properties LLC worked together on the sale of the former Ladd Elementary School, which will become Waynesboro Marketplace, scheduled to open this spring or summer.

Another highlight of the year is the Waynesboro campus of Virginia Museum of Natural History. The Virginia General Assembly included funds in its 2022 budget for detailed planning drawings. If all goes as planned, the museum is expected to open in 2025, drawing an expected 65,000 visitors annually, Hitchin says.

Also, electronics manufacturer Virtex added a new product line to its Waynesboro location in 2021, creating about 50 jobs.

Warren, Shenandoah and Winchester

In December 2021, Minnesota-based TFC Poultry LLC said it was investing $31.5 million to establish its second U.S. production facility in Winchester. The project is expected to create 111 jobs. The company is hoping to open the facility this fall.

In December 2020, International Automotive Components Group, a global supplier of automotive components and systems, announced it would invest
$4.6 million to expand its manufacturing operation in the town of Strasburg, creating 47 jobs. The company met its capital investment goals in 2021 and is currently in the midst of hiring, which is expected to be complete by June 2023.

“We foresee a lot of additional growth in our county for 2022 based on current prospect activity,” says Jenna French, Shenandoah County’s director of tourism and economic development.

In Warren County, Montreal-based Nature’s Touch Frozen Foods LLC has broken ground on a $40.3 million expansion, creating an anticipated 67 jobs. The 126,000-square-foot building, which is being built by InterChange Group Inc., should be completed this fall, says Jeff Browne, chair of the Front Royal Warren County Economic Development Authority.

Rockbridge County

Rockbridge County is prioritizing economic growth and developing a strategic economic development plan.

During 2021, the county had two major economic development expansion announcements: White’s Travel Center is investing $8 million to expand its building by 27,250 square feet and reconfigure the parking lot for additional retail and service space. And Modine Manufacturing Co., a thermal system manufacturer, will expand its operations in Rockbridge County with an investment of $7.03 million, adding 60 jobs. The project includes reconfiguring and remodeling the company’s existing warehouse into a manufacturing space.

“This project included participation in the [Virginia Economic Development Partnership’s] Virginia Talent Accelerator Program, which is the first time one of our projects has utilized that program,” says Brandy Flint, the county’s director of economic development. 

Shenandoah Valley’s recent deals

Innovative Refrigeration Systems Inc.

Augusta County

177 jobs

Veronesi Holding S.p.A.

Rockingham County

161 jobs

TFC Poultry LLC

Winchester

111 jobs

Virginia Industrial Plastics Inc.

Rockingham County

92 jobs

Evolve Services Inc.

Frederick County

84 jobs

Nature’s Touch Frozen Foods LLC

Warren County

67 jobs

Modine Manufacturing Co.

Rockbridge County

60 jobs

Cava Group Inc.

Augusta County

52 jobs

Valley Guard Supply LLC

Harrisonburg

45 jobs

Ryzing Technologies LLC

Staunton

31 jobs

Source: Virginia Economic Development Partnership

Shentel appoints executive VP/COO

Edinburg-based Shenandoah Telecommunications Co. — better known as Shentel — has promoted Edward “Ed” H. McKay to lead its broadband business as executive vice president and chief operating officer, effective July 3.

McKay will oversee Shentel Cable, Shentel Business, Glo Fiber and Beam brands and the Edinburg-based company’s tower portfolio.

He will replace David “Dave” L. Heimbach, who announced his resignation to become president and COO of MetroNet Inc. During his three-year tenure, Heimbach pushed for Shentel to lay fiber optic lines to residences in the Shenandoah Valley area.

McKay’s 25-year telecom career started with GTE, UUNET, MCI and Verizon. He’s been on Shentel’s management team for 17 years, most recently as senior vice president of engineering and operations.

McKay has helped with transitioning the company’s wireless affiliate business to T-Mobile as part of the pending sale of its wireless operations, Shentel said in its announcement.

First Bank to acquire The Bank of Fincastle

Strasburg-based First National Corp. (the bank holding company of First Bank) announced Thursday it will acquire The Bank of Fincastle.

Financial terms of the transaction were not released, but the combined bank is expected to have approximately $1.2 billion in assets, $868 million in loans, $1 billion in deposits and 20 branch offices across Virginia.

“With this combination, First Bank will extend its reach from the top of Virginia south down the I-81 corridor to Roanoke, ensuring our small and mid-sized Virginia markets continue to be served by an independent Virginia community bank,” First National President and CEO Scott Harvard said in a statement.

Under the transaction, First National will acquire Fincastle for a combination of stock and cash valued at approximately $3.09 per share. 

Founded in 1875 and based in Botetourt County, The Bank of Fincastle currently operates six locations in the Roanoke region. As of Dec. 31, 2020, it reported $256 million in assets.

“I am enthusiastic about the opportunity we have to partner with First National in a transaction that we believe offers significant opportunities to our clients, communities, employees and shareholders,” Fincastle President and CEO Scott Steele said in a statement. “This partnership is an excellent opportunity to create value for both institutions.”

The transaction is expected to close during the third quarter of 2021 and has been approved by the boards of each company. First National and First Bank will appoint three Fincastle directors to join the board. Steele will join First Bank as regional president. 

Piper Sandler & Co. served as financial adviser and Nelson Mullins Riley & Scarborough LLP provided legal counsel to First National for the transaction. Janney Montgomery Scott LLC served as financial adviser, RP Financial LC served as fairness adviser and Godfrey & Kahn, S.C. served as legal counsel to Fincastle.

 

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Shenandoah County distillery faces environmental violation charges

Maurertown-based Filibuster Distillery LLC and its co-founder, Sid Dilawri, have been indicted on 115 counts of violating State Water Control laws by allegedly dumping more than 40,000 gallons of industrial waste into a Shenandoah County stream, according to the Virginia Office of the Attorney General.

The Shenandoah County distillery, Filibuster Barrels LLC and Dilawri were indicted following a two-year investigation by the Shenandoah County Fire Marshal and the Virginia Department of Environmental Quality (DEQ). 

“Not only did this distillery allegedly dump tens of thousands of gallons of industrial waste into a stream, Dilawri also allegedly lied about it to investigators and that will not be tolerated in Virginia,” Attorney General Mark Herring said in a statement. “I want to thank our partners at DEQ and the Shenandoah County Fire Marshal for their help and coordination on this case. I hope these charges will send a message to other businesses that Virginia takes protecting our environment very seriously.”

Neither Filibuster Distillery nor Dilawri could be reached for comment.

Waste dumping primarily occurred during November 2018, according to indictments, but Filibuster continued to dump industrial water with high zinc and copper levels until at least September 2020. According to the Attorney General’s Office, Dilawri initially denied the actions, but then said that there had been a one-time accident at the distillery. Dilawri later admitted he had provided false information to law enforcement and had known about the dumping, according to the Attorney General’s Office.

“DEQ unequivocally values Virginia’s waterways and works with vigor to protect them every day,” DEQ Director David Paylor said in a statement. “Today, DEQ took necessary steps to carry out our mission to protect and improve the environment for the health, well-being and quality of life of all Virginians. With cooperation and support from the Office of the Attorney General, DEQ will continue to hold violators accountable.”

Senior Assistant Attorney General Paul Kugelman and Assistant Attorneys General Chris Bergin and Jerald Hess are handling the case as well as Phillip O. Figura, major crimes and emerging threats chief prosecutor.

Filibuster Distillery was founded in 2013 and distills and sells bourbon, whiskey and gin.

 

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Auto component supplier announces $4.6M Strasburg expansion

Automotive components and systems supplier International Automotive Components Group (IAC Group) will invest $4.6 million to expand its Strasburg operations and add auto component lines and products to its existing facility, creating 47 jobs, Gov. Ralph Northam announced Monday.

Headquartered in Luxembourg, IAC Group is a supplier of instrument panels, console systems, door panels, headliners and overhead systems for automakers. It operates more than 45 facilities in 16 countries and has more than 60 locations in 18 countries. IAC Group employs more than 18,000 people globally.

“International Automotive Components Group has been a valued employer in Shenandoah County for more than a decade, and we are thrilled that the company is reinvesting in its operation and employees,” Northam said in a statement. “IAC Group exemplifies the success that major businesses can find in rural Virginia and we thank the company for its continued confidence in Virginia and for creating high-quality manufacturing jobs at a critical time in our economic recovery.”

Virginia competed with Ohio for the project, and won because of its “history of successful launches, as well as access to additional talent around the region,” Nick Proctor, IAC Group manufacturing director said in a statement.

“As a major global player in the automotive sector, IAC Group’s growth in Shenandoah County serves as a testimonial to other industry leaders,” Secretary of Commerce and Trade Brian Ball said in a statement. “We are confident the region’s infrastructure and dedicated workforce will contribute to the operation’s future longevity.”

The Virginia Economic Development Partnership (VEDP) worked with Shenandoah County, the town of Strasburg and the Shenandoah Valley Partnership to secure the project for Virginia. VEDP will support IAC Group’s job creation through the Virginia Jobs Investment Program, which provides consultation and funding to companies creating jobs.

 

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Mt. Jackson firm buys German lab company

Mt. Jackson-based preclinical and clinical archiving company StageBio announced Tuesday it has acquired Freiburg, Germany-based TPL Path Labs.

Terms of the acquisition were not disclosed. 

StageBio provides GLP-compliant (good laboratory practice) necropsy, histology, pathology and specimen archiving services for both preclinical and clinical research. The combined company will offer other services including histopathology, molecular pathology, toxicology and digital image analysis, and it will employ 175 people, including 30 pathologists.

“The addition of TPL Path Labs to StageBio represents a significant step in our global strategy to support researchers with the broadest range of quality solutions at every stage of discovery through clinical development,” StageBio CEO Tom Galati said in a statement. “The expertise and sophisticated capabilities of the TPL team integrate perfectly with StageBio’s, enabling us to deliver solutions with a combination of depth, breadth and quality that is unmatched in the markets we serve.”

The acquisition will add a GLP/GCLP-compliant lab facility and staff in Germany to the StageBio’s existing six GLP-compliant lab facilities and two GLP specimen archive sites in the U.S., reducing the need to ship study materials overseas, according to the company. 

“Becoming part of StageBio is great news for TPL Path Labs’ customers across Europe, Australia and Asia,” Ayse Bal, TPL path labs general manager, said in a statement. “By expanding our capabilities, scale and geographic reach, the combined organization enables us to respond even more rapidly and effectively to our customers’ needs.”

 

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