The Governor’s Office of Economic Development (GOED), along with Selle Royal group, is pleased to announce that Selle Royal group will be opening a new facility in Utah, with a plan to generate 65 jobs in the next 7 years.
“Utah is truly a global hub for outdoor products,” said Val Hale, executive director of GOED. “It’s wonderful to see an established international company like Selle Royal group recognize this and join the ranks. We look forward to the contributions they will make to our outdoor recreation industry.”
Founded in Italy in 1956, Selle Royal group is an innovative leader in bicycle parts manufacturing, focused on bicycle saddles and footwear, with iconic brands like Fizik and Brooks. The company acquired Crank Brothers in 2008, expanding its product base to mountain bike parts like pedals, wheels, tools and pumps. Selle Royal group employs more than 1,000 people worldwide, distributing in over 70 countries with a predominant position among professional athletes.
“Our group is made of product-driven brands,” said Gaspare Licata, general manager of Selle Royal North America. “We have the ambition with this investment to be able to develop the greatest products in the bicycle industry. The state of Utah, and Ogden in particular, is becoming a great area for outdoor industry, and we think we can attract great talent here. We thank the city of Ogden for being such a committed partner to build this important pillar for the growth of our group.”
Selle Royal group has indicated that the expansion will create up to 65 jobs over the next seven years. The total wages in aggregate are required to exceed 110 percent of the Weber County average wage. The projected new state wages over the life of the agreement are expected to be approximately $16,195,500. Projected new state tax revenues, as a result of corporate, payroll and sales taxes, are estimated to be $1,360,515 over seven years. The project is expected to generate up to $4 million in capital investment.
“We are excited to have Selle Royal group join the thriving cycling manufacturing industry in Ogden,” said Jeff Edwards, President and CEO of the Economic Development Corporation of Utah. “Being surrounded by the beautiful Wasatch Mountains and other successful cycling companies will provide Selle Royal group an ideal place to expand and grow their North American presence.”
Selle Royal group may earn up to 20 percent of the new state taxes they will pay over the seven-year life of the agreement in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) tax credit rebate. As part of the contract with Selle Royal group, the GOED Board of Directors has approved a post-performance tax credit rebate not to exceed $272,103. Each year as Selle Royal group meets the criteria in its contract with the state, it will earn a portion of the total tax credit rebate.