FMH Conveyors of Suwanee, Georgia, said Wednesday that it will build a new $12.5 million, 195,000-SF manufacturing plant in Jonesboro.
The company, which announced its plans alongside Gov. Asa Hutchinson at the Arkansas State University Convocation Center, said the expansion will create 110 new jobs.
Among other incentives, the project is getting $1 million from the governor’s Quick Action Closing Fund.
“This expansion is great news for our community,” Mark Young, president and CEO of the Jonesboro Regional Chamber of Commerce, said in a news release. “We appreciate the continued investment in Jonesboro and our partnership with FMH Conveyors.”
FMH Conveyors makes material handling equipment, including systems for truck loading and unloading. It is part of Duravant of Downers Grove, Illinois, which purchased the Jonesboro company in 2012.
FMH Conveyors has been manufacturing in Jonesboro for 30 years. Its clients include e-commerce companies, retailers, parcel service providers, distribution centers and manufacturers.
The new plant will be built on 25 acres at the southwest corner of Barnhill Road and Highland Drive. On Tuesday, H&M Co. of Jackson, Tennessee, received approval for the project from the Jonesboro Metropolitan Area Planning Commission, which must okay commercial projects larger than 75,000 SF.
H&M will own the building, which it will lease to FMH Conveyors, according to KAIT-TV, Channel 8, in Jonesboro.
“FMH Conveyors has experienced tremendous growth over the past several years, and our success is greatly attributed to our commitment to meeting our customers’ equipment and service requirements,” Mike Kachmer, president and CEO of Duravant, said in a news release. “We are investing accordingly to ensure the highest standards of quality and delivery for our customers, and we are excited to build upon the local talent, resources and partnerships available here in Arkansas.”
Scott Hardin, a spokesman for the Arkansas Economic Development Commission, said FMH would receive these state incentives:
- Create Rebate, which provides a cash rebate equal to 3.9 percent of payroll associated with the new jobs at the Jonesboro location for 10 years
- Tax Back, which provides sales tax refunds on building materials, taxable machinery and equipment associated with the expansion
- $1 million from the Quick Action Closing Fund for infrastructure improvements and equipment purchases at the new facility
Arkansas Business will update this story.
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