National New Markets Fund, LLC has invested $20 million in New Markets Tax Credits to modernize furnaces at the American Cast Iron Pipe Company (ACIPCO) Manufacturing Plant in Birmingham, Alabama. The $285 million improvement program will create 80 to 100 full-time jobs and retain an additional 1,775 positions, bringing greater economic opportunity to surrounding communities through high-quality, high-paying jobs.
“NNMF focuses its NMTC investments on manufacturing companies that – through their growth – uplift communities navigating severe economic hurdles,” said Deborah La Franchi, Founder & CEO of SDS Capital Group and President of National New Markets Fund. “Our financial backing of this tremendous manufacturer – American Cast Iron Pipe Company – secures and creates quality employment, offering lasting stability to the generations of families who have relied on it as their economic anchor.”
American Cast Iron Pipe Company, founded in 1905 and employee-owned since 1924, is one of the nation’s largest manufacturers of ductile iron pipe, spiral-welded steel pipe, fire hydrants and valves for the waterworks industry, and high-frequency-welded steel pipe for the energy industry. The improvements will transition the company from an older, single cupola furnace to four electric coreless induction furnaces, resulting in a 25% increase in melting capacity and at least 50% reduction (105,478 metric tons) of on-site greenhouse gas emissions.
“The New Markets Tax Credits, made possible through NNMF, will help us further modernize our manufacturing operations,” said J. Michael O’Brien, President & CEO of American Cast Iron Pipe Company. “Public-private partnerships like this one support American manufacturing, allowing our companies to expand capacity to meet customers’ needs, support employment opportunities and create positive change in our communities.”
Located in North Birmingham, the ACIPCO plant has long played an important role in supporting the local economy and surrounding communities. NNMF’s investment will serve to build on this commitment, advancing economic opportunity and workforce development for families in this area.