Germany-based medical device manufacturer Ottobock Healthcare is moving its North America logistics and distribution operations to a 38,000-square-foot facility on Industry Road in Louisville, Kentucky. The company plans to create 25 new jobs and invest more than $3 million into the project.
“It’s always exciting when a cutting-edge company choses Kentucky as its home,” said Governor Steve Beshear. “Ottobock aims to significantly expand its North American market, and the Commonwealth offers many strategic advantages to make that happen. I welcome Ottobock and look forward to celebrating its success.”
Ottobock makes prosthetics, braces, children’s wheelchairs, cushions and accessories for people with mobility challenges. The company is relocating its operations from Minneapolis and Ontario, Canada, to Louisville to better serve its customers. Ottobock expects the move will help triple its business, the Governor’s office said.
“Louisville has a strong reputation of shipping expertise, and we believe the creation of a regional distribution center there will build efficiency in today’s competitive environment and support the accelerated growth we are anticipating,” says Andreas Schultz, North American Regional President/CFO of Ottobock. “The other top consideration in choosing a new location was an environment where our employees and the organization could flourish while maintaining our continuing commitment to improving patient outcomes and supporting clinical excellence. We are confident the choice of Louisville supports our aims.”
As an incentive, to encourage the investment and job growth in Jefferson County, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives of up to $375,000 through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.