New jobs starting in March 2008; Approximately $5 million equipment investment by 2011; Company specializes in parking brake components and wheel end fasteners
Fort Wayne, Ind. (November 27, 2007) — Following its acquisition earlier this year, plans have now been finalized to move the operations of HSAC Acquisition Corporation (d/b/a Hi-Shear Automotive) to Fort Wayne, Indiana. Hi-Shear Automotive (HSAC) specializes in the manufacture of parking brake components and wheel end fasteners. Currently located in Gardena, California, HSAC was acquired in January by Defiance Acquisition LLC. Defiance Acquisition LLC is also a parent company of Defiance Stamping Company located in Defiance, Ohio.
“We purchased Hi-Shear earlier this year because we knew it had excellent product offerings and great growth potential,” said Yosufi Tyebkhan, president of Defiance Acquisition LLC. “We have started to realize some of that potential, and the time is right to accelerate that growth through the synergies to be gained by working even more closely with Defiance Stamping.”
“Fort Wayne is proud to welcome HSAC to the corporate community of Northeast Indiana,” stated Fort Wayne Mayor Graham Richard. “A location in our region affords the company closer proximity to the car and truck manufacturers that represent Hi-Shear Automotive’s key customer base, as well as close proximity to HSAC’s sister company in Ohio.”
“Hi-Shear joins a growing list of companies, like Medco and Really Cool Foods that are choosing to locate new operations in Indiana. We have worked hard to create a competitive business climate that encourages just this kind of investment, and this is another sign that our efforts are paying off and creating new jobs for hard-working Hoosiers,” said Governor Mitch Daniels.
HSAC plans call for employment growth to 149 jobs on site by 2011. The company intends to initially occupy approximately 34,000 square feet (sf) of space within the 862,450 sf Coastal Partners building at 3405 Meyer Road in southeast Fort Wayne. An additional 60,000 sf of space could be occupied by HSAC under the company’s agreement with Coastal Partners. Initial reconfiguration of the space, at a cost of approximately $250,000, will take place over the next few months and the relocation of HSAC should be complete by the end of 1Q 2008. Steven Zacher and John Adams of The Zacher Company assisted Coastal Partners with the real estate transaction. They were joined by Luke Wessel and Michael Weishaar of Colliers Turley Martin Tucker.
The project was also made possible as a result of assistance to be provided by the City of Fort Wayne, WorkOne Northeast and the Indiana Economic Development Corporation. Anticipated real and personal property tax abatements could produce tax savings of nearly $173,000 over the life of the abatements. A performance-based $100,000 grant from the City of Fort Wayne (to help offset some of the costs of building reconfiguration) and local worker recruitment, screening and training assistance from WorkOne Northeast also helped win the project. The Indiana Economic Development Corporation offered HSAC an additional $30,000 in worker training assistance, up to $75,000 in infrastructure assistance and up to $855,000 in credits against future state tax obligations and possible infrastructure assistance at the Meyer Road location. Sites in Ohio were also considered for the project.
Workers interested in future jobs with HSAC are encouraged to contact WorkOne Northeast at email@example.com