An Ames-based biopharmaceutical animal treatments manufacturer and distributor is moving forward with a $5 million expansion of its operation in Boone County over the next three years.

The Iowa Economic Development Authority board voted Friday to approve a $231,000 tax incentives package for Mg Biologics from the state’s High Quality Jobs Program.

A project report from IEDA says Mg Biologics intends to build two facilities — a 6,000-square-foot animal care center and a multilevel, 20,000-square-foot facility for manufacturing, warehousing, research and office space.

The company’s products include plasma, antibody products and antivenom for equines and canines, marketed to animal hospitals and clinics, according to the IEDA report.

Mg Biologics will expand its operation at 2366 270th St. in Ames. That’s in the area of the city located in Boone County. About $1.2 million of the project cost is attributed to acquiring more than 80 acres of land to facilitate the expansion while building construction and machinery is estimated at $3.3 million.

The IEDA project report says construction for the animal care facility is expected to start this month and be completed in November. Work on the 20,000-square-foot facility will begin in October and is planned to wrap up by May 2025.

The report says the land acquisition will close by December 2025.

According to IEDA, the company employed 25 people in Ames as of May 18, and the expansion will create eight new positions.

The Boone County Board of Supervisors recently approved a local match to the state incentives through a property tax abatement on a sliding scale over five years.

According to IEDA, the deal with Boone County includes a possible extension of the abatement for another five years if the assessed value of the facility exceeds $1 million.

Mark and Elizabeth Meyer, founders of Mg Biologics, said in a news release Friday from the Ames Regional Economic Alliance that the expansion plan comes as the company marks 25 years of operation.

“We eagerly look forward to all the work that will be done on our behalf for many years to come in partnership with the Boone County Board of Supervisors and Ames Economic Development Commission,” the founders said in a prepared statement.