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Packaging manufacturer Klöckner Pentaplast Group (kp) will invest $68 million to expand its facilities in Louisa and Wythe counties, creating 54 jobs, Gov. Ralph Northam announced Tuesday.
Founded in 1965 Montabaur, Germany, Klöckner Pentaplast Group manufactures packaging for pharmaceutical, medical device, food, beverage and card clients. The company has operations in 18 countries and employs more than 5,900 people across 60 locations, including 32 production sites. It established its first North American facility in 1979 in Gordonsville.
“Klöckner Pentaplast’s decision to deepen its roots in the commonwealth underscores the importance of having strong infrastructure and a ready workforce to support the advanced manufacturing industry,” Northam said in a statement. “We are proud to continue a decades-long partnership with an innovative global manufacturer like kp, and we thank the company for its major investment, which will have a positive impact in Louisa and Wythe counties and bolster Virginia’s ongoing recovery efforts.”
The company will expand capacity at its 3585 Klöckner Road location in Gordonsville (which manufactures pharmaceutical and medical device packaging) creating 28 jobs, and will expand its 555 East Buck Ave. location (which manufactures packaging films for the food and beverage industry) in Wythe County, creating 26 jobs.
“For kp, the investment strengthens our local footprint in Virginia, which has served as the company’s proud home and a mainstay in the community for several decades,” Tracey Peacock, Klöckner Pentaplast president of the pharma, health and specialties division, said in a statement. “Virginia is the ideal location to expand our facilities due to its proximity to customers, allowing us to conveniently serve them and to position the Gordonsville and Rural Retreat sites as Centers of Excellence for the company.”
The Virginia Economic Development Partnership worked with Louisa County, Wythe County, the Joint Industrial Development Authority of Wythe County, the town of Rural Retreat and Virginia’s Industrial Advancement Alliance to secure the project for Virginia. Northam also approved an $800,000 performance-based grant from the Virginia Investment Performance program, an incentive for existing Virginia companies.
The Virginia Tobacco Region Revitalization Commission also approved $263,500 from the Tobacco Region Opportunity Fund for the Wythe County expansion. The Virginia Jobs Investment Program will provide training and funding services.
