Arglass Secures Over $230 Million Investment for Second Cutting-Edge Facility

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VALDOSTA, Ga. ~ Valdosta, Georgia - Glass container manufacturer Arglass has announced that it has secured over $230 million in capital to build a second furnace on its campus in Valdosta. The company raised a combination of structured equity and debt to finance the construction of the new facility.

Projected to be completed in the second quarter of 2025, the state-of-the-art manufacturing plant is expected to produce over 350 million sustainable glass containers annually. This will be made possible by a fully integrated production network, driven by AI-integrated real-time data monitoring, predictive modeling, and fully automated closed-loop production and quality assurance systems. These advancements will allow for the production of up to eight different glass container types simultaneously, providing maximum flexibility for smaller production runs, faster response to market demands, lower inventory levels, and reduced investment in molds.

In addition to its cutting-edge capabilities, the new facility will also boast one of the most extensive sustainability infrastructures of any glass manufacturing plant in the world. It will be powered by a hybrid gas, electric, and hydrogen oxy-fuel furnace capable of melting 490 metric tons of glass per day. The plant will also have a solar power installation that will provide an additional five megawatts of power.

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Arglass Chairman and CEO José de Diego Arozamena expressed his excitement about the new furnace, stating that it will further establish Arglass as the most innovative, flexible, and sustainable glass manufacturer in North America. He also highlighted the sustainability benefits of glass as a packaging material and his pride in leading the industry towards new heights in sustainability.

The company's commitment to sustainability goes beyond just its production processes. Other measures include using green hydrogen to reduce CO2 emissions, implementing a closed-loop water system to minimize industrial waste, and having an on-site post-consumer glass recycling plant. This recycling plant will provide post-consumer glass cullet for use in producing new containers. Additionally, Arglass uses its proprietary Arglass Biogenic® glass composition, which replaces traditionally mined material with a naturally renewing, carbon-negative biogenic component harvested from the ocean.

Apart from the advancements in the industry and sustainability, the new facility will also bring job opportunities to the Valdosta area. Arglass Vice President of Operations Tony Krznâr stated that they intend to create 150 new jobs and are looking forward to working with the community to integrate with Georgia's beautiful tapestry.

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The construction of the new facility is expected to begin as soon as possible and will be supported by the Valdosta Lowndes Development Authority and the Georgia Department of Economic Development. A groundbreaking ceremony for the plant will be held on Arglass's campus in Valdosta.

Investment bank Jefferies acted as financial advisor for Arglass, while Orion Infrastructure Capital (OIC) and several other major institutional investors provided funding. Chris Leary, investment partner and head of infra equity at OIC, expressed their confidence in Arglass's innovative growth and transformation of the glass industry in North America through their newly formed capital partnership. He also highlighted OIC's continued investment conviction in sustainable domestic packaging infrastructure.

With this significant investment and commitment to sustainability, Arglass is set to revolutionize the glass manufacturing industry in North America while creating job opportunities for the local community. The company's dedication to innovation and sustainability sets a high standard for others in the industry to follow.
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