Canada Economic Development for Quebec Regions

Canada Economic Development for Quebec Regions

April 14, 2015 12:00 ET

Government of Canada Lends Support to Two Subsidiaries of the Soucy Group

Financial assistance from Canada Economic Development for Quebec Regions allows Soucy International Inc. of Drummondville and Soucy Techno Inc. of Sherbrooke to move forward with major investments in new product development and productivity enhancement

DRUMMONDVILLE, QUEBEC--(Marketwired - April 14, 2015) - Canada Economic Development for Quebec Regions (CED)

The Honourable Denis Lebel, Minister of Infrastructure, Communities and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec, today announced that two subsidiaries of the Soucy Group- Soucy International Inc. and Soucy Techno Inc.-have been granted financial assistance for projects aimed at stimulating new product development and raising productivity.

This support has been awarded in the form of two repayable financial contributions totalling $9 million through Canada Economic Development's Quebec Economic Development Program.

Quick facts

  • Soucy International Inc. will thus receive $7 million in assistance to design and manufacture production equipment for the development of new products for the agricultural and defence sectors.

  • Soucy Techno Inc. will use the $2 million contribution from CED for the expansion of its factory and the acquisition and manufacture of equipment to increase its production capacity and raise productivity.

  • These projects will generate a total investment of $107,800,000.

Quotes

"By investing in the development of new products and equipment and in the improvement of productivity at Soucy Techno Inc. and Soucy International Inc., our government is once again demonstrating its determination to take the necessary measures to boost the growth potential of our economy."

Denis Lebel, Minister of Infrastructure, Communities and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec

"Today's announcement signals the launch of a major investment plan by the Soucy Group for the coming years that will ensure new product development and higher production at our Soucy Techno and Soucy International subsidiaries."

Eric Côté, President and Chief Operating Officer, Soucy Holding Inc.

Related document

See the accompanying backgrounder for additional details on these two projects.

Related link

For further information on the QEDP: http://www.dec-ced.gc.ca/eng/programs/qedp/index.html

Stay connected

Follow CED on Twitter @CanEconDev

BACKGROUNDER

Government of Canada lends support to two subsidiaries of the Soucy Group

Financial assistance from Canada Economic Development for Quebec Regions allows Soucy International Inc. of Drummondville and Soucy Techno Inc. of Sherbrooke to move forward with major investments in new product development and productivity enhancement

April 14, 2015 – Drummondville, Quebec - Canada Economic Development for Quebec Regions (CED)
The Honourable Denis Lebel, Minister of Infrastructure, Communities and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec, today announced that two subsidiaries of the Soucy Group- Soucy International Inc. and Soucy Techno Inc.-have been granted financial assistance for projects aimed at stimulating their development and productivity.

Promoter Contribution - Investment - Project description
Soucy International Inc. Repayable contribution of $7,000,000 on a total investment of $93,600,000

Founded in 1978, Soucy International Inc. employs 539 people and specializes in the moulding, stamping and thermoforming of rubber, metal and plastic products. While initially a manufacturer of snowmobile tracks for Bombardier, the company has since become known for its range of rubber track systems sold under the name SoucyTrack®.

Many components of these systems are manufactured by other Soucy Group subsidiaries and integrated by Soucy International Inc., mainly to serve the recreational vehicle, industrial, agricultural and defence industries.

The aim of this project is to develop new traction products and different track models for the agricultural and defence sectors. It involves building a rubber track test centre, investing in the development of new track models, designing and manufacturing production equipment and expanding two existing plants. The assistance from CED will serve exclusively for new strategic equipment.

Website: Soucy International Inc.
http://www.soucy-group.com/subsidiaries/soucy-international-rubber-tracks
Soucy Techno Inc. Repayable contribution of $2,000,000 on a total investment of $14,200,000

Founded in 1984, Soucy Techno Inc. employs 169 people and specializes in the development and production of rubber compounds, notably for Soucy International Inc., one of its sister companies within the Soucy Group. The majority of the plastic and rubber compounds it produces is sold on the Ontario and U.S. markets.

The purpose of this project is to improve the subsidiary's performance by increasing its production capacity and productivity. This will involve expanding the plant, acquiring and manufacturing equipment for rubber and plastic production, automating some of the machinery and creating a centre of excellence in rubber production. The contribution from CED will be used exclusively to cover a portion of the costs of the plant expansion and of the acquisition and manufacture of certain equipment, namely an automatic stacker, a rubber and plastic weighing system, a calendering line and silos and air tanks.

Website: Soucy Techno Inc.
http://www.soucytechno.com/eng/accueil.asp
Summary
Total number of projects: 2
Total contribution from CED: $9,000,000
Total investment generated by these projects: $107,800,000

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