Lynchburg transformer manufacturer to add 300 jobs, invest $35M

Delta Star, a manufacturer of power transformers and mobile transformer substations for the electrical grid, is investing $35 million to expand its Lynchburg operation and expects to create 300 jobs, Gov. Glenn Youngkin announced Thursday.

The Lynchburg facility is set to expand by 80,000 square feet. Most of the jobs created will be in manufacturing, but there will also be engineering and operational support positions, according to a spokesperson.

The news comes less than 24 months after Delta Star announced a $30 million investment to build a metal fabrication facility and corporate headquarters in Lynchburg, pledging 149 more jobs. That project was completed in fall 2024, and the company increased its employment number in Lynchburg from 460 workers to 547 people employed there now, including 113 in the new metal fabrication plant.

“We are excited to expand our Lynchburg facility to help address the global demand for energy solutions that prioritize both reliability and sustainability,” Jason Greene, Delta Star’s president and CEO, said in a statement Thursday. “This investment will not only increase our manufacturing capacity but also allow us to continue advancing our technological capabilities to meet the evolving needs of the energy sector.”

Founded in 1908, Delta Star established its Lynchburg facility in 1962 and later moved its corporate headquarters to the plant. The company also operates a facility in California and a plant outside of Montreal, Quebec, which it acquired from Alstom, a French manufacturer, in 2015. Delta Star has 1,227 employees total.

The Virginia Economic Development Partnership worked with the City of Lynchburg and the Lynchburg Regional Business Alliance to secure the project for Virginia.

Youngkin approved a $2.3 million grant from the Commonwealth’s Opportunity Fund to assist Lynchburg with the expansion.

Delta Star will also receive services through VEDP’s Virginia Talent Accelerator Program, which provides services and funding for employee recruitment and training to companies creating jobs.