BILLUND, DENMARK (Jan. 24, 11 a.m. ET) — Global toy maker Lego A/S is moving ahead with plans to build a 125 million euro ($162 million), 860,000 square foot factory in Nyíregyháza, Hungary, to mold Duplo and Lego products.
The plant, located near an existing Lego complex, is scheduled for completion in 2014, according to Hungarian subsidiary Lego Manufacturing.
Billund-based Lego had announced plans for the plant in Hungary last year. The company revealed new details about the project this month, when the company formally agreed on a site for the complex.
Lego was prompted to invest in a new site, not only in the face of vigorous growth in the toy markets of Eastern Europe, but also because the lease on its present manufacturing site in the city is set to expire in 2015.
The group's choice of a larger site is part of its future business plan in Hungary, allowing for further expansion over the coming 15 years.
The plant will have about 450 injection presses and will eventually add 800-1,000 to its current 1,200 strong workforce.