CytoSorbents Receives Funding from the NJ Technology Business Tax Certificate Transfer Program

On Jan 23, 2015

Monmouth Junction-based CytoSorbents Corporation, a critical care immunotherapy company commercializing its CytoSorb® extracorporeal cytokine adsorber to reduce deadly inflammation in critically-ill and cardiac surgery patients, announced the receipt of $385,642, net of transaction costs, in non-dilutive funding as an approved participant of the Technology Business Tax Certificate Transfer Program sponsored by the New Jersey Economic Development Authority (NJEDA).  Funds will be used to help expand manufacturing of CytoSorb® and support sales of CytoSorb® internationally.

The New Jersey Technology Business Tax Certificate Transfer Program enables approved Technology and Biotechnology Businesses with Net Operating Losses to sell their Unused Net Operating Loss Carryover (NOL) and Unused Research and Development Tax Credits (R&D Tax Credits) for at least 80% of the value of the tax benefits to a profitable corporate taxpayer in the State of New Jersey that is not an Affiliated Business. This allows Technology and Biotechnology Businesses with Net Operating Losses to turn their tax losses and credits into cash to buy equipment or facilities, or for other Allowable Expenditures. The New Jersey Economic Development Authority (NJEDA) determines eligibility, and the New Jersey Division of Taxation determines the value of the tax benefits (NOL and R&D Tax Credits).

Dr. Phillip Chan, Chief Executive Officer of CytoSorbents stated, “As a high growth, international therapeutics company with distribution of CytoSorb® in 28 countries around the world, and continued expansion of our manufacturing, R&D and administrative facility in New Jersey, we thank the continued support of the NJEDA.  Over the past 6 years, we have obtained nearly $7.5 million in non-dilutive government grants, contracts and other funding, an important part of our overall financing strategy.”

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