Rengo to receive 10B yen loan from Development Bank of Japan for construction of new factory in Taiwacho, Japan, will replace Sendai facility damaged by earthquake
September 27, 2011
– Corrugated paperboard products manufacturer Rengo Co. will receive a 10 billion Japanese yen (US$130.55 million) loan from the Development Bank of Japan to go toward the construction of a new factory in Taiwacho, Japan, said industry sources, reported the Daily Yomiuri Online on Sept. 26.
The new facility will replace the nearby Sendai, Japan, location that was badly damaged by the tsunami following the Great East Japan Earthquake.
The loan will be the first investment made by the DBJ to go toward the construction of a new plant, where previous loans only aided companies with operating funds, repair costs, or refurbishment plans.
Rengo will fund the entire construction project with the 10 billion yen loan. Completion is planned for March 2012.
The company said all 80 employees of the Sendai plant would be relocated until the opening of the new facility, reported the Daily Yomiuri Online.
According to Rengo’s website, the company operates 45 corrugated products and folding carton facilities and two paper mills in Japan.
The primary source of this article is the Daily Yomiuri Online, Tokyo, Japan, on Sept. 26, 2011.