Two global steel building product companies are receiving $19.1 million in state aid to merge their operations and move their combined headquarters, along with more than 400 jobs, to North Haven, officials announced Tuesday morning.
The new company, called Sustainable Building Systems, is the fifth company to qualify for Gov. Dannel P. Malloy's "First Five" program, which is providing economic incentives to companies that grow at least 200 jobs in Connecticut over the next few years.
Sustainable Building Systems is a joint venture between Australia-based Weeks Group and Diverse Services Group (DSG) of Arizona, that will specialize in making sustainable building panels for homes, hotels, the military, as well as other applications.
The new company will occupy nearly 400,000 square feet in a North Haven industrial building at 297 State St.
As part of the startup of Sustainable Building Systems, the Weeks Group will train 50 local employees in all aspects of the manufacturing process. A total of 408 employees will be hired within four years.
State support for the $97 million project will include a 10-year loan of $19.1 million at 2 percent interest to be disbursed in three installments. About $10 million will be provided at the closing; $5 million will be paid within two years after the closing if the company has created 208 jobs; and $4.1 million within four years if the company has created another 200 jobs, for a total of 408 jobs.
Funding will go toward the purchase of machinery and equipment.
DSG, which is based in Arizona, is makes energy efficient and building products for commercial, industrial, residential construction, the military, schools, as well as for modular, disaster and contingency uses.
The Weeks Group, is an Australian owned and operated company that builds homes and manufactures steel framing products for residential and commercial construction.
It has seven subsidiaries and operates from multiple sites in Australia, with joint venture projects in Malaysia and the United Arab Emirates, and is the parent company of SBSI, the subsidiary that has part ownership of SBS.