Christie Administration Approves $60 Million to Grow Tech/BioTech Industry in New Jersey
Full Funding of Program Top Priority to Spur Economic Growth
TRENTON, N.J. (Nov. 27, 2012) – In support of the Christie Administration's commitment to nurturing the growth of emerging technology and biotechnology businesses, the New Jersey Economic Development Authority (EDA) announced that 65 companies have been approved to share the $60 million allocation available through the State’s Technology Business Tax Certificate Transfer Program in Fiscal Year 2013.
This competitive program enables technology and biotechnology companies to sell New Jersey tax losses and/or research and development tax credits to raise cash to finance their growth and operations. Since the program was established in 1999, more than 500 businesses have been approved for awards totaling $710 million. Each of the 65 applicants approved this year will receive an estimated $920,000, which is 15 percent more than last year and over double the Fiscal Year 2011 average.
"Governor Christie understands that the success of the State’s greater technology industry is fundamentally tied to the growth of New Jersey’s economy," said EDA Chief Executive Officer Michele A. Brown. "The many companies that have been able to raise capital and build their businesses in New Jersey as a result of this innovative program illustrate how critical it is to provide support at this early stage.”
Administered by the EDA and the Department of Treasury's Division of Taxation, New Jersey-based technology or biotechnology companies with fewer than 225 U.S. employees may be eligible to sell net operating losses and research and development tax credits to unrelated profitable corporations for at least 80 percent of their value, up to a maximum lifetime benefit of $15 million per business.
Companies that benefited this year include Jersey City-based Antenna Software, Inc., a wireless software company specializing in solutions for mobile enterprise; Akers Biosciences, Inc. of Thorofare, a company that develops, manufactures, and supplies rapid, point of care screening and testing products; Morristown-based Pacira Pharmaceuticals, a pharmaceutical company focusing on clinical and commercial development of new products for the management of post-surgical pain; and Angel Medical Systems, Inc. of Shrewsbury, a medical device company developing new technology for heart attack detection. A full list of approved companies is included below.
The EDA is part of the state’s results-driven Partnership for Action. Created by Governor Chris Christie and led by Lieutenant Governor Kim Guadagno, the Partnership is the hub for all economic development activity in New Jersey and is comprised of three interconnected and highly focused organizational elements: Choose New Jersey, the Business Action Center and the EDA.