UT: Merit Medical to Expand, Add Jobs
29 Nov, 2018
The Governor’s Office of Economic Development (GOED) today announced that Merit Medical Systems, Inc. will expand in Utah, adding up to 1,010 jobs, $71 million in state revenue, and an estimated $505 million in capital investment.
“Merit is a homegrown company that has responsible growth, great tech and demonstrated success. This internationally known company is saving lives, and we could not be more proud to have them call Utah home,” said Val Hale, executive director of GOED.
Merit Medical is a leading manufacturer and marketer of disposable medical devices used in intervention, diagnostic and therapeutic medical procedures. The company offers products in cardiac, intervention, peripheral intervention, interventional oncology and spine, cardiovascular, and critical care and endoscopy. The company has manufacturing and research and development facilities in seven countries around the world with their worldwide headquarters located in South Jordan.
“We are appreciative that the State of Utah has chosen to invest in us as a homegrown company dedicated to improving the lives of patients and building long-term opportunities for our children and grandchildren,” said Fred P. Lampropoulos, Merit Medical chairman and CEO. “We are hiring students from our state’s great institutions of higher education as engineers, mathematicians, statisticians, marketing and business professionals. We are committed to growing our business with local talent in all areas.”
Merit Medical plans to create up to 1,010 jobs over the next 15 years. The total wages in aggregate are required to exceed 110 percent of the average county wage. Projected new state wages over the life of the agreement may be up to $983,686,603, which includes wages, salaries, bonuses and other taxable compensation. Projected new state revenues, as a result of corporate payroll and sales tax, are estimated to be $71,495,027 over the next 15 years.
“Utah-grown Merit Medical just keeps growing,” said Theresa Foxley, president and CEO of the Economic Development Corporation of Utah. “We can’t wait to see the company go after its ambitious goals and solidify its leadership in the medtech space.”
Merit Medical may earn up to 25 percent of the new state taxes they will pay over the 15-year life of the agreement in the form of a post-performance Economic Development Increment Finance (EDTIF) tax credit rebate. As part of the contract with Merit Medical, the GOED Board of Directors has approved a post-performance tax credit rebate not to exceed $17,873,757. Each year that Merit Medical meets the criteria in its contract with the state, it will earn a portion of the total tax credit rebate.