Financial incentives for private capital investment and job creation in the chemicals industry are available worldwide from nearly every local, state and national government. In a deal that Site Selection magazine named its May 2006 “Incentives Deal of the Month,” our client, United Solar Ovonic, LLC (USO), a Michigan-based manufacturer of thin film photovoltaic cells and alternative energies, decided last year to seek public investment to build an additional manufacturing facility.
Twenty-six states presented incentive proposals for the initial US$130 million project. USO narrowed the search to two locations: Orangeburg, South Carolina and Greenville, Michigan. In negotiations, USO obtained incentives valued at US$139 million from South Carolina and US$193 million from Michigan.
Greenville’s additional US$54 million in cash and cash equivalents tipped the scales, allowing USO to expand in its home state and brought some much needed good news to a town and a state that has been hit by major plant closings.