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Arglass Secures Over $230 Million for New Furnace

The second furnace to be built on Arglass' Georgia campus is expected to be able to produce more than 350 million sustainable glass containers per year.


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Glass container manufacturer Arglass has secured over $230 million in capital to build a second furnace on its campus in Valdosta, Georgia. Arglass raised a combination of structured equity and debt to finance the construction.

Projected to be completed in Q2 2025, the new facility is expected to be capable of producing over 350 million sustainable glass containers annually. This state-of-the-art manufacturing plant will embody the future of glass with a fully integrated production network, driven by AI-integrated real-time data monitoring, predictive modeling and fully automated closed-loop production and quality assurance systems. These advances will allow the new facility to produce up to eight different glass container types simultaneously for maximum flexibility, enabling smaller production runs, faster reaction to market demands, lower inventory levels and reduced investment in molds.

These cutting-edge capabilities are planned to be backed by some of the most extensive sustainability infrastructure of any glass manufacturing plant in the world. The plant is expected to be powered by a hybrid gas, electric and hydrogen oxy-fuel furnace capable of melting 490 metric tons of glass per day. An additional five megawatts of power will be provided by a solar power installation.

“Our new furnace will aim to further establish Arglass as the most innovative, flexible and sustainable glass manufacturer in North America,” said Arglass Chairman and CEO José de Diego Arozamena. “Glass is already the most sustainable, recyclable and healthy packaging material, and the only packaging material classified as ‘generally recognized as safe’ by the FDA. I am incredibly proud to be leading the industry to new heights in sustainability.”

Other sustainability measures include the use of green hydrogen to reduce CO2 emissions, a closed-loop water system to minimize industrial waste and an on-site post-consumer glass recycling plant. The recycling plant will provide post-consumer glass cullet for use in the production of new containers. Arglass also produces glass using its proprietary Arglass Biogenic® glass composition, which replaces traditionally mined material with a naturally renewing, carbon-negative biogenic component gently harvested from the ocean.

“In addition to the industry advancements this new facility will create, we also Intend to bring 150 new jobs to the Valdosta area,” said Tony Krznâr, Arglass vice president of operations. “I look forward to working with the community at large to keep integrating with the beautiful tapestry of Georgia.”

The construction, which is expected to begin as soon as possible, will be supported by the Valdosta Lowndes Development Authority and the Georgia Department of Economic Development. Arglass plans to hold a groundbreaking ceremony for the new plant on the company's campus in Valdosta.

Investment bank Jefferies acted as financial advisor for Arglass. Orion Infrastructure Capital (“OIC”) and several other major institutional investors provided funding.

“Our newly formed capital partnership will accelerate Arglass’s innovative growth and transformation of the glass industry in North America while also representing OIC’s continued investment conviction in sustainable domestic packaging infrastructure,” said Chris Leary, investment partner and head of infra equity at OIC.

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