Xspand Products Lab Inc., a product development company based in Phillipsburg, announced Thursday it has signed a letter of intent to build a new facility in Alpha.
The new facility, Xspand said, will help expand its U.S.-based production. It also said it plans to consolidate all U.S.-based operations of its subsidiaries into the new spot. It will be comprised of approximately 80,000 square feet, as compared to the 30,000 square feet of Xspand’s current facility.
“The new manufacturing facility being put in place will allow us to grow rapidly and service larger customers and orders, some of which we’ve needed to outsource in the past,” said Chris Ferguson, CEO of Xspand. “In addition, we are looking forward to consolidating both of our wholly owned U.S. subsidiaries — SRM and Fergco — into a central location, which is expected to create numerous cost savings and operational efficiencies.”
Financial terms were not disclosed.