State officials today awarded the first tax credit to an investor under a new program aimed at nurturing early-stage technology companies in New Jersey.
At its monthly board meeting, the Economic Development Authority approved the award for an applicant who invested $17,500 in Edge Therapeutics Inc., a New Providence-based firm focused on helping hospital patients who suffer brain hemorrhages. The investor, Jonathan Perelman, will receive the $1,750 tax credit under the angel investor program, which the EDA launched last month following a law enacted in January.
The EDA board also approved a $2.5 investment in FF Rose Venture Capital Fund, which was formed last year with a goal of investing in about 40 angel-stage Internet and technology companies, the agency said today. The fund has raised $25 million to date, about half its minimum target, and made 11 investments totaling $4.7 million.
The board also approved a new lease for Orthobond Corp., a biotechnology company that's growing within the EDA's Technology Centre of New Jersey, in North Brunswick, according to a news release. The company, which started with three employees, is leasing about 7,050 square feet of generic wet lab space in another section of the campus to support growth that will bring its staff to about 20.
Aside from being the first beneficiary of the angel investor program, Edge Therapeutics has received previous EDA support by receiving convertible debt and participating in the Technology Business Tax Certificate program. The company develops and commercializes life-saving hospital products that address conditions after brain hemorrhage that have no current effective treatment.
Under the angel investor program, credits are available for qualified investments in an emerging technology business that has a physical presence in New Jersey, while conducting research, manufacturing or technology commercialization here.
To qualify, technology business must employ fewer than 225 employees, 75 percent of whom must work in New Jersey. Eligible technologies include advanced computing, advanced materials, biotechnology, electronic devices, IT, life sciences, medical devices, mobile communications, and renewable energy.
Reporter Joshua Burd is @JoshBurdNJ on Twitter.