Financing Supports Increased Manufacturing Capacity and New Job Creation
(MARTINSVILLE, VA and BRUNSWICK, ME – May 31, 2023) – CEI Capital Management LLC (CCML) has closed on $8 million in New Markets Tax Credit capacity for Monogram Foods to acquire new equipment and fund construction at its Martinsville, VA manufacturing plant, expanding production capacity by 35 percent to meet increased consumer demand for the company’s line of ready-to-eat protein snacks.
Headquartered in Memphis, Monogram Foods manufactures top-quality and innovative food products at 13 sites in seven states, selling to private-label and food service customers. The Martinsville, VA plant manufactures jerky and meat sticks which have grown so quickly in popularity among consumers recently that demand began to outpace production. As the company readied to expand the snacks’ production, expenses also sharply escalated, with rising interest rates among the factors increasing the cost of capital. The $8 million New Markets Tax Credit (NMTC) financing is a solution that enabled the project to move ahead.
The plant’s expansion will add 156 jobs to the 530-employee base, securing the company’s rank as the 2nd largest private employer in Henry County. Monogram Foods intentionally invests in its workforce. The company provides uniforms and personal safety equipment to workers, eliminating a barrier for applicants with low incomes and those rejoining the workforce following incarceration or completion of an addiction program; it creates marketing and training materials in English and Spanish for a multi-cultural staff; and Monogram provides 80 hours of paid, on-the-job training for all new employees. Along with paying a living wage, the company meets the elements of the CEI Good Jobs Framework.
“Monogram Foods is committed to creating good jobs at all levels, and across all demographics,” said CCML CEO Traci Vaine. “This investment allows them to maintain a high standard for job quality in the region and support the sustainability of an organization that is vital to the local community.”
CCML invests in rural manufacturing projects that revitalize core industries or support emerging sectors. The investment in Monogram Food aligns with CCML’s focus to bring critically needed private investment to deeply distressed rural areas, where access to capital is limited or non-existent.
Dudley Venture Valley National Bank provided the New Market Tax Credits equity and CCML was joined by co-allocatees Stonehenge Community Development, LLC and The Community Business Investment Fund. Hope Community Capital served as investment consultant to CCML
About CEI Capital Management
CEI Capital Management LLC works nationally to connect new and existing rural manufacturing companies with flexible capital through the federal New Markets Tax Credit and Maine New Markets Capital Investment Tax Credit programs. CEI Capital Management invests in companies committed to building accessible good jobs that provide living wages, comprehensive benefits and opportunities for training and advancement in alignment with CEI’s Good Jobs Framework. Since 2004, CEI Capital Management has placed over $1.02 billion in 97 different projects across the U.S.
CEI Capital Management LLC is a wholly owned subsidiary of Coastal Enterprises, Inc. (CEI), a Maine-based nonprofit community development financial institution.
CEI Capital Management LLC is an equal opportunity provider.