Flexopack USA, a subsidiary of Flexopack, has signed a pre-contract to purchase 80,000 sqm of land in Lebanon County, Pennsylvania (USA) for the construction of a production/industrial facility. 

The investment has a time horizon of at least four years and an estimated value of $33 million.  Flexopack International Limited, a Cypriot subsidiary, is the sole owner of Flexopack USA Inc.

The company's announcement in detail:

"The limited liability company under the name "FLEXOPACK S.A." and the distinctive title "FLEXOPACK S.A." (hereinafter referred to as the "Company"), in the context of the correct, accurate and timely information of the investing public and in application of the provisions of paragraph 4.1.1 of the Athens Exchange Rules (as in force following the decision of the Management Committee of the Athens Exchange (as approved by the decision of the Hellenic Capital Market Commission No. 1019/21.5.2024), article 17 par. 1 of the 596/2014 Regulation of the European Parliament and of the Council of 16 April 2014 and of the Decision No. 25 (item 6) of the Athens Exchange's Stock Exchange's Stock Exchange Management Committee, announces to the investing public that its subsidiary company "Flexopack USA INC", which is wholly controlled by the Cypriot subsidiary "FLEXOPACK INTERNATIONAL LIMITED" (100% controlled by the Company) has signed a preliminary agreement to purchase land plot 80. 000 square meters in Lebanon County, State of Pennsylvania, United States, for the purpose of designing, planning and subsequently developing and constructing a production/industrial facility within it.

This new planned production investment by the Flexopack Group is intended to strengthen the Group's already significant presence in the United States market by leveraging its long-standing experience and know-how, as it is expected to achieve more direct, faster, and more efficient distribution, service, and supply to the market on a nationwide (US) level.

The planned investment has an initial implementation timeframe of at least 4 years and is estimated at $33 million. The group will use both its own funds and bank borrowings to finance the investment.

Flexopack USA Inc. has already received approval from the Commonwealth of Pennsylvania for a grant of five hundred thousand dollars (US$500,000) and intends to apply for inclusion in the Manufacturing Tax Credit program for the creation of new full-time jobs and in the Pennsylvania Rail Freight Assistance program, which involves receiving financial support for the implementation of investments in rail facilities of the Pennsylvania Department of Transportation."