Herbalife Purchases Manufacturing Facility In Winston Salem, NC
Herbalife Ltd., a global nutrition company, has entered into a definitive agreement to purchase a manufacturing facility in Winston Salem, NC. This purchase further expands Herbalife’s global manufacturing capacity and is in line with the company’s stated strategy to increase self-manufacturing for its products.
The agreement is based upon a cash purchase of $22.2 million and includes incentives from Winston Salem, Forsyth County and the state of North Carolina. The receipt of these incentives, coupled with an existing manufacturing facility and the availability of quality labor force in the Triad region, were key criteria that the company considered upon selecting this location above other cities in the southeast.
In addition to the building purchase, Herbalife plans to invest in excess of $100 million on machinery and technology, as well as a complete retrofit of the existing facility to ensure it is in full compliance with U.S. Good Manufacturing Practices (cGMPs) for dietary supplements and food products. The facility will employ approximately 500 new positions when it reaches full production and it will manufacture Herbalife’s nutritional powders and liquids for the North American and other markets around the world.
“This acquisition is part of the ongoing execution of our previously stated ‘seed to feed’ strategy—vertically integrating our supply chain to give us even greater control of our products at every stage of the process and increasing our ability to meet the increased product needs of our independent distributors and their customers around the world,” said Rich Goudis, chief operating officer. “We are thankful to Gov. Perdue, who played a key role in our decision to locate our operations in North Carolina, and we are excited about the opportunities this new facility offers to both our business and the local economy.”
It is anticipated that the deal will close in late December 2012, subject to the completion of due diligence on the property.
You might like:
- Business Facilities’ 11th Annual Rankings Report: Metro and Global Rankings
- Business Facilities’ 2015 Metro Rankings Report: Austin, Nashville, Raleigh Are Metro Frontrunners
- Business Facilities’ 2015 Metro Rankings Report: Indiana Metros Are Exports Leaders
- Business Facilities’ 2015 Global Rankings Report: China Leads In Renewable Energy Investment
- Eli Lilly and Company To Expand Indianapolis R&D Headquarters
- Business Report – North Carolina: Growing Innovation Throughout The Tarheel State
- Business Report: Tennessee – DENSO Manufacturing Expanding in Maryville, TN
- Business Report – California: Largest Solar Facility On Earth Goes Operational
- Alcoa Expands R&D Center Near Pittsburgh
- U.S. Innovation Hubs: Inventing the Future
- Logistics Networks Are Getting Back On Track
- Bell Inc. To Invest $30M In Ohio Carton Manufacturing Facility
- Panama Canal: Bigger, Better and Ready to Rumble
- NTN Driveshaft Adding 500+ Jobs in Indiana
- GE To Add 120 Jobs, Invest $7.4M In Iowa Manufacturing Facility