By Lewis Loflin
Published: December 9, 2011
Update, January 2022: Good news — Istobal is still in Bristol in 2022! My highest praise for a success and the good reputation of the company. I’m glad my earlier skepticism was wrong.
Istobal USA’s website is www.us.istobal.com.
However, these are still not new jobs but a change in ownership.
Istobal USA, a Spanish carwash equipment company, has received a package of grants and incentives from the City of Bristol, Virginia, Bristol Virginia Utilities, the State of Virginia, and other sources. I’ll need to use the Freedom of Information Act (FOIA) to obtain the details, as this deal was conducted in secret and hidden from the public. There’s no public record of the deal prior to the announcement of the corporate welfare package.
**Istobal USA received a corporate welfare package, including a $100,000 grant from the Governor’s Opportunity Fund and additional incentives, though the total is likely less than $2 million, contrary to the multi-million-dollar estimate.** **Istobal retained Magic Wand’s existing jobs, and while the company projected adding 72 new jobs over three years, there is no public confirmation by 2022 that these additional jobs were created.** Such projections have often fallen short in the past.
The rest is their press release, dated December 9, 2011:
Istobal USA of West Palm Beach, FL, proudly announces it has purchased the assets of Magic Wand, LLC of Bristol, VA. “We are excited to welcome the highly dedicated, skilled, and experienced personnel of Magic Wand to the growing Istobal USA team. The addition of the industry-proven Magic Wand self-serve equipment, touch-free rollovers, and conveyor product lines gives Istobal USA and its distribution partners the industry’s most complete product line,” said Istobal USA President Kevin Collette.
“It is the perfect opportunity to bring Istobal technology and efficiency to the reliable, hard-working Magic Wand products. The strategically located and modern 97,000+ sq. ft. manufacturing facilities in Bristol allow us to immediately expand our U.S.-based manufacturing and support capabilities. Our distributors and customers will receive a higher level of service and support as we utilize our new resources… We look forward to becoming an important member of the business community in the Tri-Cities area.” Istobal USA intends to add to the existing Magic Wand staff with new hires from the Bristol, VA area and with Istobal USA personnel from its present West Palm Beach, FL location.
Magic Wand was founded in 1984 in Bristol, VA, and was purchased by Key Bridge Investments in 2008. Istobal USA is a sister company of Istobal SA of Valencia, Spain, founded in 1950, one of the world’s largest automatic vehicle cleaning equipment manufacturers. Ref: www.carwash.com.
I’d like to emphasize that Istobal USA has done nothing improper. We cannot blame them for the flawed decisions of public officials who have created a corrupt and undemocratic system, costing local and state taxpayers across the nation over $80 billion a year across many states.
