NewAge Industries purchases additional facility to increase capacity and ensure continuity of product manufacturing

NewAge Industries is buying two building units at a location within seven miles of its southeastern Pennsylvania headquarters. The company will renovate the space and then purchase and install new tubing extrusion equipment and presses for injection molding. The site will be used primarily to manufacture high purity tubing and molded assemblies for NewAge’s AdvantaPure division, which supplies single-use fluid transfer systems to biopharm and pharmaceutical manufacturers.

The purpose of the new location is two-fold. One reason is that demand for the company’s products is high, especially during the COVID-19 pandemic, and NewAge needs to ensure capacity to produce more inventory. The other reason is to maintain an additional manufacturing facility in case of any potential disruption at the main plant.

“It’s growth for the company and a fail-safe,” said Ken Baker, NewAge Industries’ CEO. “Some of our customers have expressed concern about security of supply. Being able to make our products at multiple locations not only lets us increase our output but helps ease those concerns.”

The two building units consist of 46,000 sq. ft. of manufacturing space with an additional 3,000 sq. ft. of offices. The manufacturing area will house tubing extrusion machinery, injection molding presses, clean rooms for high purity product manufacturing and packaging, and quality inspection areas. Quality department personnel and department supervisors will use the office space. NewAge plans to inventory and ship products directly from the new location.

“Since this site is less than 15 minutes away from our headquarters, there are efficiencies to be gained,” said Baker. “It’s close enough that current team members will be able to shift to working at the new building, where they’ll train new people, too. We’re growing and have a lot of open positions right now that we need to fill.”

Renovations at the new location will begin this summer with additional remodeling extending into next year. NewAge anticipates moving in, testing and validating its manufacturing equipment during 2021. The company expects to double manufacturing capacity for its AdvantaFlex TPE tubing in the short term, and long term, to triple capacity. Silicone tubing manufacturing capacity will also increase substantially.