$190 million Promega expansion receives WEDC support

$190 million Promega expansion receives WEDC support

2019-01-16T11:13:48+00:00January 16, 2019|News|

$1.5 million in tax credits to help finance new R&D facility at Fitchburg campus

MADISON, WI. JAN. 16, 2019 – The Wisconsin Economic Development Corporation (WEDC) announced today it is providing Promega, a global life science company, with up to $1.5 million in tax credits over three years to support the construction of a new research and development facility at the company’s Fitchburg campus—a $190 million project expected to create 100 jobs.

Ground was broken in July for the expansion and construction is expected to be completed in 2020.

“Promega’s investment solidifies the company’s continued commitment to Wisconsin and is a testament to the strength of our life science industry,” said Mark R. Hogan, secretary and CEO of WEDC. “In addition to the jobs created by this project, this expansion will enable Promega to usher in a new era of innovation and research to develop new products and will position the company for future growth.”

The project will include a 270,000-square-foot R&D facility that will provide the proper infrastructure for Promega to respond to emerging opportunities in the global biotechnology and life science markets. Currently, R&D operations are spread across three buildings at the Fitchburg campus. This new three-story building will allow the company to consolidate these employees into a single facility.

The amount of tax credits awarded to the company by WEDC are contingent upon the amount of capital investment the company makes in the project over three years. As is the case for all WEDC tax credit awards, the company must first make the capital investment before receiving any tax credits.

In addition to the 100 jobs expected to be created by the expansion, a WEDC economic modeling study estimates the project could indirectly generate 260 additional jobs in the region. Those 360 new jobs could generate up to $4 million in state income tax revenue over a five-year period.

Last year WEDC awarded Promega with up to $185,000 to support the company in moving some of its manufacturing facilities from California to Wisconsin. That project is expected to create 25 new jobs and make a capital investment of $750,000.

Founded in 1978, Promega is a global leader in providing innovative solutions and technical support to life scientists in academic, industrial and government settings. The company has a portfolio of more than 4,000 products covering the fields of genomics, protein analysis and expression, cellular analysis, drug discovery and genetic identity.

The Fitchburg facility manufactures enzymes and enzyme systems for the amplification and cloning of DNA, detection of gene expression, cell health or biochemical assays and protein analysis. As the corporate headquarters, the Fitchburg office also provides most of the quality assurance testing and technical support for products manufactured by other Promega facilities. In addition to research and development and manufacturing, the Fitchburg campus also is home to marketing, customer service, legal and human resources functions.

In addition to its Fitchburg headquarters, Promega has branch offices in Australia, Belgium, Brazil, China, Denmark, Estonia, Finland, France, Germany, India, Iceland, Italy, Japan, the Netherlands, Norway, Poland, Singapore, South Korea, Spain, Sweden, Switzerland and the United Kingdom. The company has more than 50 global distributors serving 100 countries.