Swedish Match, a smokeless tobacco products manufacturer, will expand its production facility in Owensboro, Kentucky. The company will invest more than $40.9 million investment and plans to create 36 full-time jobs.

The company’s investment will cover the build-out of a 16,000-square-foot production area for ZYN, a smokeless and spitless tobacco-derived nicotine pouch.

The investment will also bring a 34,000-square-foot expansion of its current facility and the purchase of new equipment. The company anticipates construction will begin in September and finish by July 2019.

“We recently decided to invest in larger scale production capacity to more fully capitalize on the progress of some of our newer smokeless products,” said Swedish Match North America Director of Operations Kristian Lindfors. “This capacity project will expand our existing facility for smokeless products in the US and will primarily cater to US demand, but could potentially address future launches in other markets.”

To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in August approved the company for up to $150,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing. Swedish Match also can receive resources from the Kentucky Skills Network.

“In a significant contribution to Kentucky’s historic economic growth, Swedish Match has chosen to invest further in Daviess County,” Governor Matt Bevin said. “The advanced manufacturing capabilities of the commonwealth’s workforce, our range of industrial production equipment suppliers, and our expert service providers all work hand-in-glove with our abundant farmland and longstanding agricultural traditions. We are grateful for this investment and new job creation and we congratulate Swedish Match and the Owensboro community on their continued economic success.”