VA: PRUFREX to Invest $7.3M in First U.S. Manufacturing Facility, HQ
18 Jul, 2013
Governor Bob McDonnell announced that PRUFREX Innovative Power Products GmbH, the worldwide leading full-service system partner in the development and production of highly integrated digital ignition systems and electronic control units, will invest $7.33 million to establish its first U.S. manufacturing facility in the City of Virginia Beach. The company will supply ignition components for U.S. customers, including nearby BMZ Batteries and STIHL Inc., which produces the number one selling brand of chain saws. Virginia successfully competed against Georgia for the project, which will create 60 new jobs. PRUFREX USA Inc. will also be establishing its U.S. headquarters in Virginia Beach.
Speaking about today's announcement, Governor McDonnell said, "Gaining this global company's first U.S. manufacturing facility and headquarters is a major coup for Virginia. This significant project is also a great testament to the power of customer-supplier relationships that help attract additional investment. PRUFREX Innovative Power Products chose Virginia Beach due to the business environment in the Commonwealth and proximity to two major customers, and simultaneously can expand its U.S. customer base from this strategic location. We are thrilled to welcome PRUFREX USA to the roster of international companies that call Virginia home."
"The addition of PRUFREX's first U.S. operation and 60 new jobs is a win for Virginia Beach and the Commonwealth," said Jim Cheng, Virginia Secretary of Commerce and Trade. "We are grateful that this German supplier to Virginia companies will make a significant investment to establish an operation here to serve and grow its customer base and expand its U.S. and global footprint in the advanced manufacturing industry."
PRUFREX Innovative Power Products GmbH is a privately owned manufacturer of digital ignitions systems and electronic control systems. Headquartered in Cadolzburg, Germany, the company develops and produces control units for applications in the fields of small engine, marine & recreation, industry, automotive, and electric & cordless power appliances.
"Our ongoing conversations with manufacturers reveal that there is a great interest inour products, especially because of the exhaust reduction and fuel-saving aspects we can offer our customers. I am confident, that we are in a good position to facilitate growth in the US market" explains Kurt Müller, President. "The decision for the right production facility location was not an easy one. Crucial factors that made us choose Virginia Beach are the excellent engineering graduate programs in the state, the close business relations to our present and future customers and suppliers as well as the logistics connections into the country."
The Virginia Economic Development Partnership worked with the City of Virginia Beach Department of Economic Development to secure the project for Virginia. Governor McDonnell approved a $120,000 grant from the Governor's Opportunity Fund to assist the City of Virginia Beach with the project. Through its Virginia Jobs Investment Program, the Virginia Department of Business Assistance will provide funding and services to support the Company's recruitment and training activities.
"We are excited to welcome PRUFREX, another key global player in the field of highly advanced technologies, to our City," said Virginia Beach Mayor William D. Sessoms. "Their innovations in the development and production of electronic ignition components result in easier operation by the end user, long term cost savings and significant positive impacts to the sustainability of our environment. Virginia Beach is proud to be the new U.S. corporate home for this great German company."
PRUFREX USA Inc. will lease an existing building in Virginia Beach, joining other major German companies such as STIHL Inc., IMS Gear, Kettler, Busch Manufacturing, Hermes Abrasives, KOSTER American, BMZ USA, and Atlas North America in the city's Lynnhaven Business Corridor.