Electrolux is selling its nine-year-old Tennessee cooking factory for $83 million.
Memphis plant has been idle since June
By Alan Wolf, YSN
Electrolux said it plans to sell its shuttered Memphis, Tenn., cooking plant to an unnamed buyer for about $82.5 million. The all-cash deal is expected to close this quarter.
The company opened the 750,000-square-foot facility in November 2013 after shifting production from Canada. The plant was built at a cost of $266 million, offset by some $137 million in state and local incentives, and produced ranges, wall ovens and other cooking products until its closure in June.
Electrolux originally planned to shutter the factory in 2020, which line workers and local media attributed to the decline of Sears’ appliance business and high tariffs on steel. But the company continued operations through the pandemic when consumer demand and supply-chain constraints kept appliances in short supply.
Production has since been consolidated into Electrolux’s sprawling Springfield, Tenn., facility near Nashville, which has been expanded and updated with $250 million in capital improvements.
The manufacturer said it expects to record a gain of $65.8 million from the sale but declined to disclose the identity of the buyer.