HATTIESBURG — Resinall Mississippi (Resinall) has completed a New Market Tax Credit (NMTC)-based investment.
The New Markets Tax Credit program is run by the CDFI Fund under the Department of Treasury. MuniStrategies and SECDE Ventures were the two Mississippi-based New Markets allocatees that provided federal and state tax credit incentives to help finance this project.
New Markets enabled an $18-million investment for the construction of Resinall Mississippi’s new Hydrogenated Hydrocarbon Resin Unit at its manufacturing facility in Hattiesburg. This expanded facility will produce hydrogenated tackifier resins (HTRs), which are clear adhesives used in a variety of industrial applications worldwide.
“With our proven strengths in hydrocarbon resin synthesis and manufacturing along with the projected market growth for pressure sensitive adhesives, the decision was obvious. However, the New Markets tax credit incentives made it happen in this tough economic environment.” said Lee Godina, Resinall executive vice president.
Fourth District Congressman Steven Palazzo said, “This project in Hattiesburg encompasses the efforts of numerous organizations to provide affordable financing to high-impact private sector projects. This is the sort of investment that will restore our economy and the communities that have been so affected by the economic downturn of the last three years.”
By shifting into this new product line, Resinall will preserve 125 manufacturing jobs and create 10-20 new positions. The project will also create/maintain hundreds of temporary and supplemental jobs pertaining to the construction and continuing maintenance of the facility, transportation of supplies and finished goods, and the residual impact of the expenditures by these employees in the local economy.
This expansion is targeted for completion and startup in 2012 and will be capable of producing multiple resin grades.