By Brice Wallace
In the heart of the COVID-19 pandemic, corporate recruitment to Utah continues, featuring wins for the state.
Three companies have selected Utah for expanded operations after having been approved for incentives by the Governor’s Office of Economic Development (GOED) board at its May meeting. The incentives are tied to the creation of a total of 2,457 high-paying jobs over the next few years.
Malouf will expand its operations and grow its corporate headquarters in Cache County, creating 1,195 jobs in the process, while two companies will expand in Lindon: GoHealth LLC, creating 1,159 jobs, and Anglepoint Group Inc., growing by 93 positions.
“You can imagine how happy I am when we get together and talk about new businesses coming to Utah,” Gov. Gary Herbert told the board after the incentives were approved. “Well, today is an extra-happy occasion because in the midst of this pandemic, we have a really a bright light shining of hope and optimism for continued economic expansion in the state of Utah.
“Getting back on the beam, Utah will lead the nation in economic growth and expansion coming out of the pandemic, I can promise you.”
Malouf will expand in Nibley and create the jobs over the next decade. Founded in 2003, the company manufactures and distributes bedding and furniture. Company products can be found in major retailers like RC Willey and Mattress Firm, and are also available at online retailers, including Amazon. Its products are available in more than 20 countries. It creates private-label products for brands including Walmart, Target and Macy’s.
“Utah is home to so many of our employees, and I’m very grateful that the Governor’s Office of Economic Development believes in us,” Sam Malouf, CEO, said in a prepared statement. “We’ve been working on this partnership for three years to bring more jobs to Utah and cement our future here. This announcement is timed perfectly and an indicator of future job stability and growth in our state.”
“It is a tribute to the community-oriented culture in Cache Valley, and to Utah’s state and local leaders, all who share those same values,” said Jeff Steed, the company’s chief legal officer. “We could not be more grateful and excited to call this place home.”
The $120 million project is expected to create jobs paying an average of $54,500. New total wages over 10 years is projected at $465.3 million. New state tax revenue is expected to total $57.5 million during that period. The tax credit is for up to nearly $14.4 million.
The new positions will include accounting and finance, legal, sales, business, marketing, software development, human resources, supply chain, product development, culinary, maintenance and facilities, public relations and data analytics. The company also plans to create an in-house creative marketing consulting firm, with additional writers, graphic designers, photographers, videographers, 3D artists, user experience specialists, and visual merchandisers, according to GOED documents.
“They’ve grown tremendously over the last few years and have acquired a number of assets around the country,” Thomas Wadsworth, GOED associate managing director, told the board. “So, as they look to put down their roots for their headquarters, they considered a number of states and we’re lucky enough to have them here today, committing to the state of Utah for the foreseeable future.”
GOED board member Brad Bonham described Malouf as “one of the most impressive companies in the state of Utah.”
“Six years ago, Malouf took a chance on our community and moved from Logan to Nibley,” Shaun Dustin, Nibley city mayor, said in a prepared statement. “Since then, they have been a dynamic and exciting driver of economic development in Nibley and a model corporate partner.”
GoHealth’s $10 million project will be over five years as it constructs a building in Lindon. The company is a health insurance marketplace allowing individuals and families to shop and compare health insurance plans. Formerly known as Norvax Inc., GoHealth was founded in 2001 and is based in Chicago, with additional offices in Lindon and Charlotte, North Carolina.
The company was approved for a tax credit of about $13 million. The new jobs are expected to pay an average of $54,000. New wages are projected at about $259.8 million over five years, and new state tax revenue is expected to top $65.2 million during that time.
The company received a state incentive in 2018, tied to the creation of 363 jobs to Lindon. The company is approaching that projected job count. The new positions will include those related to an expansion of the licensed health and life insurance agents that were intended in the original application and an expansion of corporate operations. These new operations will include information technology, tech, marketing and human resources.
“It’s really excited to have them doubling down and committing to the state of Utah with such a significant job number,” Wadsworth said.
“I think it’s remarkable to see a company like GoHealth not only come for the first time but continue to expand in Utah,” said GOED board member Steve Neeleman.
Anglepoint’s $410,000 expansion project is expected to produce jobs paying an average of $75,000. Wages over five years are projected at more than $19.4 million, while new state tax revenue is expected to top $1.5 million during that period. The incentive is for up to $228,348.
Based in Santa Clara, California, Anglepoint is focused on IT and software asset management with the goal of helping customers limit IT costs; minimize risk related to the ownership, licensing and use of software; and maximize the productivity of end users. The company was founded in 2009 with three employees and has grown to more than 100.
The expansion will double its Utah workforce. Positions will include general analysts and tooling analysts. The company is highly interested in hiring Utah graduates in IS, computer science/engineering, statistics and IT, according to GOED documents.
Brian Papay, CEO, told the GOED board that while the company has employees in seven countries, “the bulk of the employees will be focused in Utah now. … All of our USA growth will be focused in Lindon. We want to use it as a growing hub.”
“We’re lucky to have them both here in Lindon right now,” Michael Forence, Lindon’s economic development director, said of GoHealth and Anglepoint. “We’re grateful that they’re both staying. … They bring great-paying jobs and [are] increasing their number of employees in our community and we’re really lucky to have them. They’re both national leaders and so we’re just grateful.”
Herbert described the incentive approvals as “really a bright spot” and told the companies, “We appreciate your confidence in Utah.”
The state, he said is fertile ground for business opportunity. “I think your confidence in us is well-placed and, of course, that’s going to help create a bottom line for you and jobs and opportunity for the people … as you expand here in Utah, and we appreciate that very much.”
Utah is has a fast-growing population — meaning a growing customer base — as well as friendly and charitable people, Herbert said.
“It’s just a great place to live and it just coincidentally happens to be a great place to do business,” he said. “And so that’s a combination that means our future is going to be bright and we’re going to continue to grow and expand.”
