Specialty chemical company to invest more than $65 million in new plant
FRANKFORT, Ky. (Aug. 23, 2013) — Clariant Corp., a wholly owned subsidiary of Switzerland-based Clariant International, is expanding operations of its Business Unit Catalysts in Louisville, adding 34 jobs and investing more than $65 million to add a new manufacturing facility at the corner of 12th and Wilson Streets in Louisville.
“Clariant has been extremely successful in Louisville and we’re excited to know the workforce in the commonwealth has played a key role in that success,” said Gov. Steve Beshear. “Clariant is a world leader in specialty chemicals, and we’re always glad to see a company grow in Kentucky, in this case adding 34 new jobs and investing more than $65 million in a new plant.”
Clariant currently employs more than 380 people at three facilities in Louisville, where the company produces industrial catalysts used in the chemical and petrochemical industries. The company has signed long-term cooperation agreements with major polypropylene technology licensor Lummus Novolen Technology. The two companies will combine to ramp up research and development efforts to develop improved polypropylene catalyst and donor technologies. The new plant is expected to be operational in 2015.
“The strategic partnership with Lummus Novolen is a significant milestone for the catalyst business,” said Hariolf Kottmann, CEO of Clariant. “It strengthens our competitive position in a market with future perspectives and strong growth rates. This cooperation is another example for the successful implementation of Clariant’s strategy, which is focused on innovation, portfolio management and profitable growth.”
The Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company for tax incentives up to $500,000 through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
KEDFA also approved Clariant for tax benefits up to $500,000 through the Kentucky Enterprise Initiative Act, which allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing equipment.
“This innovative partnership between two strong companies and their planned investment are a strong vote of confidence in Louisville,” said Louisville Mayor Greg Fischer. “It is exciting to bring these new jobs and significant investment to the citizens of west Louisville.”
For more information on Clariant, visit clariant.com.