A state panel approved funds Monday to aid the expansion of Johnson Controls’ battery plant in Middletown.
The Delaware Council on Development Finance gave the green light to an incentive package for the Milwaukee-based company that includes two grants, totaling about $1.6 million.
The bigger grant is nearly $1.3 million and would reimburse Johnson Controls up to 3 percent of construction costs for its expansion - which is expected to be finished by 2017.
The other grant, worth just over $300,000, would help hire 83 full-time positions at the plant. That would bring the total workforce in Middletown to around 430 workers.
The company estimates the expansion will cost a total of $43 million.
“We are excited that Johnson Controls has reaffirmed its commitment to growing and expanding here in Delaware,” said DEDO Director Bernice Whaley in an emailed statement. “Although they had multiple options to choose from before deciding to bring operations to Middletown several years ago, Johnson Controls chose Delaware for a variety of reasons—not the least of which include our talented workforce and business-friendly environment. The new expansion will add over 80more new jobs and we look forward to continuing our work with Johnson Controls to provide more opportunities to Delawareans.”
Johnson Controls is in the midst of a proposed merger with manufacturing giant, Tyco International, which was announced back in January. The merged entity, called Johnson Controls PLC, will be headquartered in Ireland, saving the company $150 million in taxes.
The two companies plan on cutting $500 million in costs. But there’s been no word on what impact those plans may have on its Middletown operation.
