New York-based composite panel extruder Alliance Technology Group Inc. is investing $25 million to buy Louisiana-Pacific Corp.'s 80,000-square-foot plant that used to produce WeatherBest decking and a neighboring 50,000-square-foot facility owned by a local airport authority in Selma, Ala.
Alliance bought the buildings and all of extrusion lines formerly owned by Nashville, Tenn.-based LP.
LP spokeswoman Mary Cohn confirmed that a letter of intent has been signed. The agreement is expected to close by the end of November, she said.
Wayne Vardaman, executive director of the Selma and Dallas County Economic Development Authority, said officials project that the deal will bring 175 new jobs to the region.
``With the bad economic trends in our country today, it's a real pleasure to announce an addition,'' he said.
LP pulled back on its composite decking production by curtailing operations at the Selma plant in April 2007. The company exited the composite decking market in July 2007, selling its 175,000-square-foot Meridian, Idaho, extrusion facility and the WeatherBest brand to New London, N.C.-based Fiber Composites LLC.
LP continues to manufacture oriented-strand board and engineered wood siding and construction products, which are partly made from plastics.