ViewRay lured to Ohio with $25M+ incentive package

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ViewRay will relocate its headquarters and manufacturing operations from Gainesville, Fla., to Cleveland after being approved for a $25 million package from the state of Ohio.

The company’s Renaissance System 1000, licensed technology from the University of Florida in Gainesville, Fla., uses MR to target cancer tumors with gamma radiation with little damage to surrounding healthy tissue.

The company, which is developing image-guided radiation therapy technology, has promised to hire 25 professionals in its first year of relocation, including software and hardware engineers, according to Will Wells, CEO of ViewRay.

The $13.5 million project is expected to create nearly 100 jobs within the first three years; the initial jobs are likely to pay around $100,000 a year, the company said.

A group of investors offered the company a $25 million investment if it moved from Florida to a center of bioscience innovation in Cleveland. Blue-chip biomedical venture capital investment companies, including OrbiMed Advisors, Fidelity Biosciences, Kearny Venture Partners and Aisling Capital, are funding the relocation.

Additional incentives included job-creation tax credits worth approximately $500,000 over 10 years from the Ohio Tax Credit Authority, a 90 percent abatement of personal property tax for 15 years from the city of Oakwood, Ohio, and a $200,000 state Rapid Outreach Grant for costs associated with the acquisition of machinery and equipment.

ViewRay, which plans to add 65 more jobs in its second and third years, said it expects to move into its building in July.