Iconacy Orthopedic Implants LLC on Monday announced plans to create up to 50 new jobs by 2015 following a $2.63 million investment to set up a manufacturing operation in Warsaw.
The orthopedic manufacturer leased, renovated and equipped a 50,000-square-foot factory at 4130 Corridor Drive. The plant, which opened last month, makes hip replacement products and surgical instruments.
Iconacy employs 14 and plans to ramp up hiring later this year or early next year.
Positions will include production, engineering, finance, marketing and administration. Wages will range from about $30,000 a year for production, distribution and administrative employees to about $120,000 a year for engineering, marketing and sales staff, said Kevin Cox, vice president of marketing and sales.
The startups I-Hip total hip replacement system, which has been cleared by the Food and Drug Administration, was created as a lower-cost, U.S.-manufactured option. Iconacy officials expect the companys first patient implantation will occur in mid-November, Cox said.
Tom Allen, president and CEO, said in a written statement that Iconacy is poised to be the nimble player in the market.
The company sees its small size as an advantage over larger competitors laden with bureaucracy and expensive infrastructure, Cox said. The industry is so heavily regulated by the FDA that after a process is in place, its difficult to update it, he said.
Iconacy will be more efficient out of the gate than other orthopedic manufacturers that have antiquated processes, he said.
You have to be very careful how you set up your programs so youre able to change, he said.
The companys competitors include Zimmer Holdings, Biomet Inc. and the DePuy Synthes Cos., all based in Warsaw, which is considered the Orthopedics Capital of the World.
Being in Warsaw will allow Iconacy to recruit experienced employees and work with vendors established in the area, Cox said.
The company is committed to keeping all its products made in the U.S. because officials believe the quality is better than from overseas vendors, he said.
The Indiana Economic Development Corp. offered Iconacy up to $575,000 in tax credits, but full credit wont be awarded if the company doesnt meet its hiring goals. Warsaw officials approved a property tax abatement.