BYK USA, Inc. (2018)
Project Overview
BYK USA, Inc., a leading producer of rheology additives and precision measuring instruments, embarked on a transformative expansion project at its Gonzales, Texas, facility thanks to a New Markets Tax Credit (NMTC) allocation of $10 million. With a total project cost of $10,148,831, this financing enabled BYK to redesign its plant layout and replace major machinery and equipment, upgrades projected to significantly reduce the facility’s emissions and bolster its operational efficiency.
Economic and Community Impact
The NMTC-backed investment is projected to create 165 full-time equivalent (FTE) jobs, along with 47 construction positions during the renovation phase. By modernizing BYK’s manufacturing processes, the project not only secures long-term, sustainable employment in Gonzales—a rural community—but also strengthens the local supply chain and spurs ancillary economic activity. Ultimately, these enhancements position BYK to better compete in specialty chemicals markets while fostering broader regional growth.
Role of Texas Mezzanine Fund
As the Community Development Entity (CDE) on this project, Texas Mezzanine Fund played a critical role in channeling NMTC dollars into BYK’s expansion. TMF’s expertise in structuring mission-aligned capital solutions allowed BYK to access flexible financing that traditional lenders couldn’t match. This strategic partnership exemplifies TMF’s commitment to rural economic development, demonstrating how catalytic NMTC investments can revitalize manufacturing assets and create quality jobs in underserved areas.
Environmental and Operational Benefits
Upgrading to state-of-the-art machinery is anticipated to yield measurable environmental gains. With newer equipment, BYK will reduce greenhouse gas emissions and improve energy efficiency across its production lines. These sustainability improvements align with broader industry trends, positioning BYK as a forward-looking manufacturer that balances performance with environmental stewardship.
Looking Ahead
Located at 1212 Church Street in Gonzales, Texas, BYK USA’s revitalized facility stands as a testament to the power of public-private collaboration. By leveraging NMTC financing through Texas Mezzanine Fund, BYK not only modernizes its operations but also cements itself as a cornerstone of rural manufacturing in South Texas. As the company ramps up production in its expanded space, the local community can expect continued economic stimulus—proof that strategic investments in rural industry pave the way for lasting growth and prosperity.
ABOUT BYK USA
BYK produces rheology additives and measuring instruments. The NMTC allocation will assist BYK in redesigning its layout and replacing its central machinery and equipment. The Machinery and equipment upgrades are estimated to reduce the plants’ emissions.
LOCATION
GONZALEZ, TX
INVESTMENT
TOTAL PROJECT COST: $10.1 MILLION
NMTC AMOUNT: $10.0 MILLION
IMPACT
165 FULL-TIME JOBS
47 CONSTRUCTION JOBS
PARTNERS
GONZALES ECONOMIC DEVELOPMENT CORPORATION