SAPP, Inc., an automotive supplier, plans to establish its manufacturing facility in Edinburgh, Indiana, creating up to 37 new jobs by 2018.

The company, which is a joint venture between Holland, Michigan and Hong Kong-based L.K. Machinery and Brescia, Italy-based SAPP S.p.A, plans to purchase, renovate and equip an existing facility at 600 South Kyle Street in Edinburgh. The 200,000 square-foot facility, which plans to begin operations early next year, will house the company’s repair and rebuilding operations for large die cast molds used in the automotive industry.

Founded by companies with more than 30 years combined experience in manufacturing, SAPP, Inc. will repair and rebuild large die cast molds used to produce automotive components, such as engine blocks and transmission cases. Because of increased demand in the automotive industry to streamline expenses by reusing die cast molds, the company plans to use this facility to serve its growing North American customer base. The parent companies plan to immediately begin hiring SAPP, Inc.’s management and manufacturing associates.

“SAPP, Inc. is pleased to launch this joint venture in Indiana to better serve our customers throughout North America,” said Bill Damian, President of L.K. Machinery. “The state’s pro-growth business environment and excellent regional workforce made Edinburgh an ideal location for this new facility.”

“When presented with a world of options, manufacturing companies continue to choose Indiana as the place to put their expansion plans in gear,” said Victor Smith, Indiana Secretary of Commerce. “With an affordable cost of doing business, SAPP, Inc. has found a competitive advantage here in Indiana. We’re happy to welcome this joint venture to the Hoosier State, where I’m confident it will find the resources it needs for many years of success and growth.”

The Indiana Economic Development Corporation offered SAPP, Inc. up to $400,000 in conditional tax credits and up to $40,000 in training grants based on the company's job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The town of Edinburgh approved additional tax abatement.

“The people of Edinburgh and the town council are very pleased that SAPP Inc. has chosen Edinburgh, Indiana, as the location for their business,” said Ron Hoffman, President of the Edinburgh Town Council. “We are very excited for this opportunity and are here to help them with anything that they would need to make this a success. The opportunity for new jobs and a business to come here is nothing but a great chance for Edinburgh to grow and let all companies know that would be interested in coming here that we are here to help. We would like to thank them for choosing our town for this venture.”