Almost $700,000 to support the expansion and enhance the productivity of two Saguenay businesses

The Government of Canada supports projects by SCP 89 and OXO Fab.

SAGUENAY, QC, Oct. 12, 2018 /CNW Telbec/ - Canada Economic Development for Quebec Regions (CED)

SCP 89 Inc. and OXO Fab Inc. (known under the trade name OXO Valve) will be able to count on financial assistance from the Government of Canada to improve their production capacity, acquire strategic equipment and support their growth. Their respective projects will generate a total investment of over $2.4 million and will result in the creation of 10 jobs in the Saguenay region.

The repayable contributions totalling $688,220 were announced by Richard Hébert, Member of Parliament for Lac-Saint-Jean and Parliamentary Secretary to the Honourable Mary Ng, Minister of Small Business and Export Promotion, acting on behalf of the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for CED.

The funding granted by the Government of Canada under CED's Quebec Economic Development Program will allow the recipient businesses to achieve their established objectives.

The Government of Canada is committed to establishing close partnerships with Quebec businesses to support their efforts to innovate and enhance their productivity and competitiveness, while contributing to the economic vitality of the regions, the creation of good-quality jobs and a better quality of life for citizens.

Quotes

"With the help of this support from the Government of Canada, two Saguenay businesses will continue to showcase regional expertise throughout the country. High-performing and forward-looking, these companies are contributing to economic growth in their region and in Canada."

Richard Hébert, MP for Lac-Saint-Jean and Parliamentary Secretary to the Minister of Small Business and Export Promotion

"As Minister of Innovation, Science and Economic Development, my goal is to help businesses grow and innovate so they can increase their competitiveness and create good-quality jobs and wealth for Canadians. This is why we are supporting these two businesses, whose success reflects on the region and on the Canadian economy as a whole."

The Honorable Navdeep Bains, Minister responsible for CED

Quick facts

• CED is one of the six regional development agencies under the responsibility of the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development.
• The year 2018 marks the 50th anniversary of federal regional economic development in Quebec: half a century of concrete action targeting the growth of Quebec's regions and businesses.
• To find out more about CED and its priorities, see the 2018–2019 Departmental Plan or visit www.dec-ced.gc.ca.
• For more details about the projects, see the related backgrounder.

Backgrounder

Proponent	Contribution – Investment – Project description
OXO Fab Inc. (known by the trade name OXO Valve)	Repayable contribution of $568,220 out of a total investment of $2,125,217 The project involves the startup of a company that produces industrial valves designed using new technology. CED will fund costs associated with product development, the acquisition of computer and production equipment, and the marketing of an innovative product on the Canadian and international markets.   OXO Fab Inc. specializes in the design, development and production of industrial valves with an open frame, making them easier to maintain. These new valves are made primarily of aluminum. In the short term, the company will develop vacuum valves and other types of valves used by industries whose processes involve abrasive or corrosive materials.
SCP 89 Inc.	Repayable contribution of $120,000 out of a total investment of $300,000 The project aims to improve the productivity and innovative capacity of SCP 89 through the addition of high-tech digital equipment. The main project activities will include acquiring, installing and developing a robotized welding cell, setting up a plant, and providing employee training.   CED's contribution will cover the cost of acquiring the new equipment and integrating it into the plant.   SCP 89 has been producing high-quality components for the forestry and mining industries since 1989. With the help of R&D investment, this innovative business has been constantly improving its products and manufacturing processes.
Summary	Number of projects: 2 Number of jobs created: 10 CED's contributions: $688,220 Total investment generated by these projects: $2,425,217

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SOURCE Canada Economic Development for Quebec Regions

Media Relations, Canada Economic Development for Quebec Regions, 514-283-7443, [email protected]