Sen. Bailey applauds Finance Authority of Maine financing for Tanbark in Saco

AUGUSTA – Sen. Donna Bailey, D-Saco, is pleased to announce that the Finance Authority of Maine (FAME) approved financing for Tanbark Molded Fiber Products, Inc. in Saco. The financing is expected to help create nine Maine jobs and retain an additional 23 Maine jobs.

FAME approved $1,594,000 in total financing for Tanbark, comprising a $1 million FAME Direct Loan and a $594,000 Grow Maine Program Loan. Grow Maine is administered by FAME and funded through federal State Small Business Credit Initiative (SSBCI) funds. The funds will help the company purchase and install equipment for its micro-fiber manufacturing operation. The Maine Technology Institute also has approved financing for the project, totaling $500,000.

“I am very pleased to share the news that FAME has approved over $1.5 million in financing for Tanbark,” said Sen. Bailey. “Between the Maine Jobs & Recovery Grant and this new financing from FAME, our state is making a real investment in a Maine-based company that produces high-quality sustainable packaging. An investment in Tanbark is an investment in Maine’s heritage wood products industry.”

Tanbark is a producer of high-end sustainable packaging made from Maine’s heritage wood products industry. The company manufactures molded fiber packaging using wood pulp largely sourced from the Maine woods. The wood-based products have a smooth finish and complex architecture with minimal draft angels. The wood products industry is a targeted sector in the state’s ten-year economic development strategy.

Additionally, Tanbark’s products are free of per-and polyfluoroalkyl substances (PFAS), which are a group of chemicals used to make coatings and products that resist heat, oil, stains, grease, and water. Tanbark’s products can be used as a substitute for single-use plastic materials, which can damage oceans and landfills, among other things.

FAME’s Direct Loan provides access to operating capital for startups and existing businesses for most business purposes. Loans up to $1 million may be available if substantial public benefit is demonstrated and sufficient funds are available.

FAME’s Grow Maine Program, administered by FAME in conjunction with various statewide lending partners, provides SSBCI funding to eligible Maine businesses. Funding is available through FAME and its intermediary partners across the state via loan guarantees, direct loans, and equity capital.

The Finance Authority of Maine (FAME)is a quasi-independent state agency celebrating its 40th anniversary that provides innovative financial solutions to help Maine citizens pursue business and educational opportunities. FAME helps to lead the creation of good paying jobs for Maine citizens by working at the nexus between economic and workforce development. To learn more about FAME, please visit www.famemaine.com.

Earlier this month, Sen. Bailey announced that Tanbark was awarded a Maine Jobs & Recovery Grant through the Department of Economic and Community Development (DECD), the Governor’s Energy Office (GEO), and the Maine Technology Institute (MTI). The $1,336,892 grant allowed Tanbark to upgrade power at its Saco production facility and hire at least 35 new positions.

The Maine Jobs & Recovery Plan was introduced by Gov. Janet Mills and approved by the Legislature. The plan invests nearly $1 billion in Federal American Rescue Plan funds to improve the lives of Maine people and families, help businesses, create good-paying jobs, and build an economy poised for future prosperity. Since the Jobs Plan took effect in 2021, over $743 million in the Jobs Plan funding has been spent or committed to deliver results on behalf of Mainers.

For more about the Plan, visit maine.gov/jobsplan.