The 25 Tech, Clean Tech and Healthtech Companies Approved to Sell Their Losses through the 2020 NJ Net Operating Loss Program
Each year, the New Jersey Economic Development Authority (NJEDA) releases the names of companies that participated in the Net Operating Loss (NOL) program. As the NJEDA says, the program is “hailed as a lifeline for New Jersey companies that have yet to reach profitability.”
Participants sell their New Jersey net operating losses and unused research-and-development (R&D) tax credits to unrelated profitable corporations for cash. The cash can then be used as working capital or to fund research. The NJEDA and the New Jersey Department of the Treasury’s Division of Taxation jointly administer the program.
Whenever the names of the companies are announced, NJTechWeekly.com lists the ones that are in the tech and clean tech segments, and we include their descriptions on our list. The idea is that these are among the most innovative emerging companies in the state, but they may take a long, unprofitable time to develop their products and commercialize them. You may want to become familiar with these companies at this stage of their development. This source of non-dilutive capital is a helping hand to companies in their infancy. The average award in 2020 was $1.1 million.
The participants in 2020 shared approximately $55.4 million. The amount for those participating in 2021 will be increased to $75 million, authorized by the New Jersey Economic Recovery Act of 2020. The Act also increased the lifetime cap for an individual applicant from $15 million to $20 million.
This year we also included some healthtech companies in our list, as these are companies involved in wearables; 3D printing; or improvements based on data, AI or machine learning. For example, Angel Medical Systems has an implanted medical device that sends data to the physician. If you are interested in the life sciences and biotech sector, the complete list of companies can be found here.
Most of the descriptions below were taken from the companies’ websites.
Company Company Headquarters/Base of Operations
(Municipality)What the Companies Do 1* Ailares Princeton Ailares is a “financial technology company that leverages machine learning (ML) and artificial intelligence (AI) in the fields of wealth management, investment management and risk management. Leaders of Ailares have spent the last 20+ years working on, creating and managing highly automated analytical platforms for Fortune 500 companies as well as startup companies around the world. Before the terms ‘big data,’ ‘machine learning’ and ‘artificial intelligence’ were being tossed around, leaders of Ailares had been delving deep into grid computing, cloud-based business intelligence and alternative data applications in investment management, banking, fraud management and risk management.” 2 Angel Medical Systems Eatontown “The Guardian System’s principle of operation is based on the well understood relationship between ST-segment changes and cardiac ischemia. Ischemia occurs when blood is not flowing due to blockage of a coronary artery and the heart does not have enough oxygen. The Guardian System continuously monitors the patient’s heart signal (known as the ‘electrogram’) for these ST-segment changes and provides notification using a triple-modality alerting when an abnormal change occurs.” 3 Avlino Holmdel “From automation to intelligent systems, we apply an AI-first approach that addresses every challenge with machine learning and deep learning techniques as the basis of our technology. Our Solutions work as a dynamic layer that stacks on top of rule-based systems making operations smarter while future-proofing workflows. We advance businesses leading the way for intelligent transformations with cutting-edge technology designed to expand existing capabilities.” 4* Bloqcube Piscataway Bloqcube has a “transformative approach to efficient remote clinical trials.” It is “an integrated CTMFS platform for the remote management and acceleration of clinical trials with an integrated financial module for speedy payments.” 5 Brilliant Light Power Cranbury “Brilliant Light Power has developed a new commercially competitive, non-polluting, plasma-based primary source of massive power from the conversion of hydrogen atoms of water molecules to dark matter, the previously unidentified matter that makes up most of the mass of the universe. The SunCell that was invented to harness the new power source catalytically converts hydrogen directly into dark matter form called Hydrino releasing brilliant high-energy light which is down-converted in energy to facilitate the production of electricity using commercially-available concentrator photovoltaic cells.” 6 CircleBlack Jersey City “CircleBlack delivers portfolio management and performance reporting, tightly integrated with your choice of technology and custodial feeds, to provide a 360-degree view of an advisor’s book of business.” 7 Eos Energy Enterprises Edison “We’ve overcome some of the challenges of lithium ion, creating a positively ingenious solution that delivers a significant reduction in levelized cost of storage.” 8* Forefront Telecare Hamilton “Forefront Telecare is a recognized national leader of Virtual Behavioral Health for Seniors across America. If a Senior has Medicare, Medicare Advantage or Medicaid and begins in a Hospital then moves to a Long Term Care Facility, including Skilled Nursing Homes or Assisted Living, or can return home for Home Health – Forefront will follow the senior patient. We produce superior outcomes with the same care and human connection for the patient and the facilities we serve.” 9* Fusion Recruiting Labs Red Bank “Fusion Recruiting Labs, Inc. builds employment tools that accelerate hiring processes and increase the efficiency of recruitment advertising campaigns for the fast-growing needs of Human Resources Departments. FusionRL’s suite of products gives employers the power to drive their candidate lead generation process to quickly fill open jobs, identify qualified leads and provide the best candidate experience.” 10 Gadget Software Newark “Gadget easily transforms PDF manuals into ADX connections which actually use the smart in your smartphone.” 11 Hope Portal Services, Inc (DBA Hope Trust) Holmdel “Hope Trust takes a revolutionary approach to special needs planning and trust administration … Through our technology, we know every issue and challenge facing each beneficiary. With an amazing team of Hope Care Coordinators trained to serve those with challenges, we actively seek solutions to social, medical, financial, legal, and daily living struggles.” 12* Interpace Biosciences Parsippany “Our Interpace Diagnostics business unit provides evidence-based, clinically beneficial molecular diagnostic tests and pathology services, including such widely respected tests as PancraGen, ThyGeNext, ThyraMir, RespriDX and BarreGen. Our Interpace Pharma Solutions business supports clinical trials by providing lab testing, data management, project management, and biorepository services to biopharmaceutical companies, enabling them to effectively integrate pharmacogenomics into their drug development and clinical trial programs to deliver safer, more effective drugs to market faster.” 13 IoTecha Cranbury “IoTecha was born at the nexus of several disruptive trends and is focused on IoT as an enabling technology for the future of transportation electrification and power grid modernization.” 14 Miami International Holdings Princeton “Miami International Securities Exchange, LLC (MIAX), MIAX PEARL, LLC (MIAX PEARL) and MIAX Emerald, LLC (MIAX Emerald and together with MIAX and MIAX PEARL, the MIAX Exchange Group) are wholly-owned subsidiaries of Miami International Holdings, Inc. (MIH). The MIAX Exchange Group has deep rooted experience in developing, operating and trading on exchanges. The initial focus of MIH was to leverage management’s expertise and relationships in the equity options space to launch MIAX, a fully electronic options exchange for the trading of OCC issued standardized options on equities and ETFs. Trading on MIAX commenced on December 7, 2012 following its approval from the SEC as a National Securities Exchange. MIAX now lists and trades options on over 2,600 multi-listed classes. 15 Ocean Power Technologies, Monroe Township “Information from the oceans can help us understand climate change and natural disasters while also providing sources for food and energy. Persistent, reliable and cost-effective instrumentation, communication, and power sources are necessary to support the maritime activities to obtain such information. Present solutions and technologies suffer from the need for costly and repetitive maintenance as well as the rather limited electric power output they provide. The PowerBuoy system integrates patented technologies in hydrodynamics, electronics, energy conversion, and computer control systems to extract the natural energy in ocean waves. The result is a leading edge, ocean-tested, proprietary autonomous system that turns wave power into reliable, clean, and environmentally beneficial electricity for offshore applications.” 16* Onkos Surgical Incorporated Parsippany “Onkos Surgical is a privately held, specialty medtech company founded in 2015. We believe that individuals with cancer requiring surgery deserve solutions designed specifically for them. This principle is the driving force behind our Precision Oncology initiatives. Built on a digital platform, our solutions are rooted in unmatched expertise in patient imaging analysis, personalized surgical planning, and the latest advancements in 3D printing. At Onkos, we are passionate about reducing complexity for our customers and addressing the clinical challenges associated with tumor surgery.” 17* Princeton Identity Hamilton “Princeton Identity is a global leader in biometric identity management, providing iris scanning and facial recognition systems for access control and security across commercial enterprises.” 18 Solidia Technologies Piscataway “Solidia is a cement and concrete technology company, offering patented green solutions that make it easy and profitable to use CO2 to create superior, sustainable building materials. The technology has the potential to eliminate a minimum of 1.5 gigatonnes of CO2 each year. Solidia provides two core technologies: 1) A sustainable cement manufacturing technology, which can be produced in traditional cement kilns using less energy, reducing greenhouse gas emissions during manufacture by 30-40%; 2) A sustainable concrete curing technology, curing concrete with CO2 instead of water, permanently and safely consuming 240 kg of CO2, and potentially saving 3 trillion liters of fresh water every year. 19* Sunbird Software, Inc. Somerset Sunbird is a data center solutions company. “Since 2007, Sunbird products are being used globally by 1300+ customers across hundreds of thousands of racks, managing millions of assets, and monitoring billions of data points each and every day. From colo to owner operated, medium to large, private to public and non-profit, you can find Sunbird solutions helping customers improve availability, efficiency, and better utilize their data center assets.” 20* Tallyx Princeton Tallvx is developing and “Open Financial Supply Chain Marketplace that puts Corporates at the center, goes beyond financing, coupled with Tallyx 1*2*3 that offers forward-looking win-win-win value proposition for Anchors, Small and Medium Enterprises (SME’s) and Financial Institutions.” 21* Throtle Red Bank “Throtle offers the best in class identity and onboarding solutions. We drive personalization and relevant marketing with the most accurate 1:1 view of your customers, across multiple channels and devices.” 22 TrialScope Jersey City “TrialScope gives your clinical trial data superpowers. Ensure disclosure compliance, maximize trial transparency, improve patient engagement, and accelerate study recruitment like never before.” 23* TrueFort Weehawken “TrueFort was founded on a mission to help IT organizations connect business security policy with operational reality. We help reduce cost and risk by taking an application-first approach that offers comprehensive application protection – not simply disparate controls – for real-time visibility and analysis, protection and better communication across business, IT, and security teams.” 24 United Silicon Carbide Inc. (USC) Princeton The company’s vision is “to accelerate SiC adoption using our innovative device technology, enabling our customers to deliver industry transforming levels of power efficiency to society’s most advanced applications, particularly in mobility, IT infrastructure and renewable energy.” 25 Wellsheet Newark “Wellsheet envisions a much different future, one in which providers make decisions with a comprehensive view of relevant information, structured precisely for their needs. Predicting providers’ information needs is a tremendous technology challenge, only possible through exceptional engineering and design talent, the latest advances in machine learning, and partnership with EHR vendors. Wellsheet brings these together to deliver the first comprehensive workflow support system that learns and anticipates providers’ needs.”
*First-time participants in the NOL program.
