Xoran Technologies Inc., an Ann Arbor, Mich.,-based company that designs and sells compact, high quality CT scanners for on-site use by medical specialists, plans to invest $3.7 million to expand its operations in Ann Arbor. The expansion will create 171 new jobs at the company.

The MEDC approved a Single Business Tax credit valued at more than $7.1 million over 10 years to win the company’s investment. The city of Ann Arbor has proposed a 5-year tax abatement valued at $31,990 to support the project.

“We are very grateful to the MEDC for this assistance, which is a good example of Michigan’s commitment to nurturing the growth of high-tech companies that create new jobs in Michigan,” Xoran Technologies President/CEO and co-founder Predrag Sukovic said. “While a lot of great medical innovations never make it out of the research lab, we were able to move our CT technology from prototype to market thanks in part to our receipt of initial funding through a 2001 runner-up award in a Great Lakes Venture Quest Business Plan Competition (now called Great Lakes Entrepreneur's Quest) and through MEDC's Michigan Universities Commercialization Initiative Fund (MUCI) in collaboration with The University of Michigan Technology Transfer Office.”

An economic analysis conducted by the MEDC estimates that increased economic activity created by the new facility will generate an additional 215 indirect Michigan jobs, in addition to the 171 created directly by the company. The project is expected to generate more than $197 million in personal income for Michigan workers over the life of the tax credit.

Xoran was founded in 2001 by Sukovic and Neal Clinthorne, a Senior Associate Research Scientist in the Department of Radiology at the University of Michigan. Xoran has grown into a profitable commercial enterprise with more than 30 employees and more than $13.5M in annual revenue.

Xoran’s specialized, low radiation CT scanners are used by medical specialists at the patient’s point-of-care, eliminating the expense and delay caused by sending patients off-site to a hospital or imaging center for CT scans.

The company was singled out for the “Innovator's Award” and named One of the “50 Companies to Watch in Michigan” by the Michigan Small Business & Technology Development Center, the Small Business Association of Michigan, the MEDC, the U.S. Small Business Administration-Michigan and the Edward Lowe Foundation.

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