LORDSTOWN — A Chattanooga, Tenn.-based plastic pail company expanding into the former Magna Seating Systems has received a $100,000 grant from the state to add a rail spur at the site, 1702 Henn Parkway.

The funding was approved Wednesday by the Ohio Development Rail Commission.

“Just a few years ago, the railroad was considering eliminating rail service on this line, so this type of investment not only helps M&M Industries, but also helps to ensure continued rail service in the area for current and future businesses,” Matthew Dietrich, commission executive director, said.

M&M purchased the building in December with the intent of making it the company’s fourth manufacturing site in the U.S. The new track will enable delivery of rail cars of plastic pellets, a raw material used in the company’s manufacturing process.

The company plans to invest about $38 million in real estate, machinery and equipment and plans to employ about 100 workers. M&M manufactures pails and packaging for pool chemicals, bioscience, laboratory and pharmaceutical as well as specialty paint and food products.

Magna, which produced seating for Lordstown-built Chevrolet Cruze, closed in 2019. It fell victim to the closure of the General Motors assembly plant.