Technology firm born in Fayetteville to locate operations in Fort Smith

A private group of Fort Smith investors has helped recruit to Fort Smith an advanced manufacturing company created through a Fayetteville-based venture firm that has plans to be operational by 2017 and employ around 100 workers – to include scientists – by 2019.

TiFiber Inc., which is managed by Fayetteville-based VIC Technology Venture, has received $500,000 in funding, with $300,000 coming from a private group of Fort Smith investors who have asked to remain anonymous.

“This project is a collaborative effort of the Fort Smith Chamber, local Fort Smith business owners, and TiFiber. A group of local business owners are making a financial commitment to this company for the betterment of our community,” said Tim Allen, president and CEO of the Fort Smith Regional Chamber of Commerce. “The Chamber is proud to play a role in securing this opportunity; high-tech and innovative projects like TiFiber are exactly what Fort Smith needs more of today. We are thrilled with TiFiber’s decision to move their operation to our community and we welcome their leadership and staff to Fort Smith.”

The company has developed and plans to produce “innovative new materials that safely and effectively control dangerous microorganisms,” noted a statement from VIC. Products patented by TiFiber are based on a family of antimicrobial polymers (AMPs) “with potent, broad-spectrum activity towards both bacteria and fungi.” The VIC statement said such polymers possess “strong antimicrobial activity,” are safe and kill E. coli, S. epidemidis, P. aeruginosa and S. aureus (including MRSA), and other forms of dangerous bacteria.

FORT SMITH PRODUCTION
TiFiber is seeking approval from the federal Food and Drug Administration for a production facility with hopes to begin “significant production” by 2017.

“Fort Smith was chosen not only because of its historic, strong support for manufacturing, but also due to regional leaders’ efforts to attract leading edge, technology-based companies such as TiFiber,” noted the VIC statement.

Sources from Fort Smith who spoke with The City Wire hope TiFiber has a success story similar to that of NanoMech, an advanced manufacturing birthed from research out of the University of Arkansas that just recently expanded its operations in Springdale. The company, which has raised almost $15 million for research and production within the past 10 years, recently completed a 29,000-square-foot addition to its facility that triples the capacity for the high tech manufacturer. The company will employ 37 engineers by year-end, nearly all who are University of Arkansas graduates.

Any growth in the Fort Smith metro manufacturing sector will help. The sector employed an estimated 17,800 in October, down from 17,900 in September, and below the 18,400 in October 2013. Sector employment is down 37.5% from a decade ago when October 2004 manufacturing employment in the metro area stood at 28,500. Annual average monthly employment in manufacturing has fallen from 28,900 in 2005, 19,200 in 2012, and to 18,300 in 2013.

TIFIBER PRODUCTS, COLLABORATION
TiFiber’s work is partially in response to growing concerns about the use of triclosan and similar ingredients in bacterial soaps and body washes. The VIC statement said the FDA and the U.S. Environmental Protection Agency are in the process of reviewing the effects of triclosan on humans and the environment.

“Triclosan has been shown in animal research to alter hormone regulation, and may also contribute to the development of antibiotic-resistant strains of bacteria,” according to VIC.

TiFiber is working with West Warwick, R.I.-based Bradford Soap Works to develop soap formulations using TiFiber’s patented products. Founded in 1876, Bradford is the world’s leading manufacturer of bar soaps, and also offers a broad range of liquid soaps, lotions, specialty chemicals, and bath accessories. Bradford’s development laboratories are working with TiFiber to provide custom formulations, product development, and testing services. Bradford also was the first U.S. soap company to recieve organic certification. That certification was made in 2001.

“TiFiber’s business outlook is very positive, as the company’s AMP technology meets urgent market needs. The company is highly likely to create numerous science and engineering jobs in Arkansas,” Dr. Calvin Goforth, interim CEO of TiFiber, said in the statement. “We are very appreciative of financing and tax credits received from the Arkansas Science and Technology Authority, the Arkansas Development Finance Authority, and the Arkansas Economic Development Commission, that are targeted to help create these types of jobs in Arkansas, and which have played a critical role in TiFiber’s launch and rapid progress.”

Possible uses of TiFiber’s products include:
• Soaps;
• Disposable and non-disposable medical plastics;
• Dental cements;
• Wound care (acute and chronic wounds);
• Medical devices (biofilm protection);
• Cosmetic preservatives; and
• Textiles.

Initial development work has been supported by a combination of private investment and economic development incentives from several Arkansas economic development agencies.

VIC Technology Venture Development is a private, for-profit, technology venture development firm that works to form new technology companies with the purpose of commercializing licensed technologies. VIC provides business development teams to help launch companies and also provides various management services. As a business becomes successful, the VIC support is phased out.