LIME CITY — Milling-tool company IMCO Carbide Tool will remain in Perrysburg Township after receiving a tax exemption this week as it plans a $41 million expansion and 92 additional jobs.
The company received unanimous approval for a 10 year, 100% tax abatement, from the trustees and Wood County Commissioners.
“It is in line with other projects in the township over the years,” Wade Gottschalk, executive director of the Wood County Economic Development Commission, said. “I would like to note that this was a very competitive project, between us and another state.”
Growth at IMCO has been great enough that a similar exemption was given by trustees for an expansion in 2014.
“This would be a larger expansion, but we have already entered into agreements with Rossford and Penta schools,” Gottschalk said. “We have those in place, as we normally would for any other project.”
There would be a 50/50 split with each of the school districts.
IMCO is planning on expanding their 45,000-square-foot facility to 60,000 square feet.
“But then everything we have currently under roof is going to be essentially torn down and it will be used to, essentially, double the size of our manufacturing space,” IMCO Chief Financial Officer Jeff Cremean said. “We have a very aggressive growth plan, as far as sales and revenues, where we plan to focus domestically with a concentration on aerospace.”
The business was recently purchased by IMC, a Berkshire Hathaway Company, as noted in the Ohio Enterprise Zone Program application as opening additional markets for their tools.
Facility costs are estimated to be $20 million and the other capital investments would be in CNC grinding equipment ($20 million) and an additional $1 million in installation of a coating center.
An estimated 92 full time employees would be hired over the next six years, with annual wages of $782,305, for a total of $4.7 million over the 6-year ramp-up in hiring. The company currently has 98 full-time employees and eight part-time.
Cremean said that annual revenue is $30 million.
The project is expected to begin Aug. 29, with completion planned a year later.
The business is located in an Ohio Enterprise Zone.
The company was founded in 1977 and is currently located in the Cedar Business Park in Perrysburg Township. The 2014 expansion was a nearly 50% expansion for the business.
The business creates cutting tools from blocks of carbide steel.
“I’d heard that they were looking around in Michigan for a different location. But I’m glad and excited that they have decided to do their expansion here in Perrysburg Township,” said Trustee Bob Mack. “We heard here today that we are competitive in a global marketplace and when people make the decision to stay here in Perrysburg Township we want to do all we can to help them.”