Paper company owned by BVI investors gets $250,000 grant

Potsdam Specialty Paper Inc. received the $250,000 grant from Empire State Development Corp., and will use it to improve the management in the cash flow in the next months and to safeguard the jobs of 79 employees of the paper mill in Unionville, New York. The company is a new business venture owned by  Seafront Paper Ltd., a group of investors from the British Virgin Islands who bought the MeadWestvaco Corporation plant.

The Potsdam paper grant is part of $16.3 million funding announced by Empire State Development Corporation’s Board of Directors in NY aimed at retaining 699 existing jobs and creating 271 new jobs across the state. By words of company’s General Manager Ronald F. Charette, the grant will help them to get some cash flow and working capital.

He said that in recent months the BVI-owned plant has received $800,000 in low-interest loans. The paper mill was also recently recertified for inclusion in the state’s Empire Zone program, which implies substantial tax and investment incentives.

As the mill is now owned by BVI investors, it is considered to be a startup company, and the $250,000 grant has been awarded to cover initial startup and operating costs during the company’s first year of business.

Comments are closed.