Massachusetts has successfully secured the expansion of organ transplant company TransMedics, thanks to a strategic partnership initiated by Brian Johnson, president of the industry group MassMEDIC. Johnson acted quickly when he learned that New Hampshire Governor Kelly Ayotte was actively pursuing TransMedics to relocate to her state. Recognizing the potential loss, he reached out to Governor Maura Healey and Lieutenant Governor Kim Driscoll to stress the importance of retaining the company.
“I just impressed upon them this is a flight risk and this is a company we don’t want to lose,” Johnson explained. His call came in June, as the fast-growing company, founded by Waleed Hassanein, considered a site in Salem, New Hampshire, just 15 minutes from its current headquarters in Andover, Massachusetts.
Following Johnson’s outreach, Healey and Driscoll promptly contacted Hassanein, urging him to keep TransMedics in Massachusetts. Driscoll met with him soon after, and in August, Healey led a delegation to TransMedics’ headquarters armed with compelling financial incentives. The state was also competing with North Carolina for the company’s relocation.
TransMedics announced last week that it will establish a new facility in Somerville, where it plans to lease nearly 500,000 square feet from BioMed Realty. The relocation will affect approximately 350 employees currently working in Andover, as the company anticipates adding up to 600 new jobs in its new location.
The decision to remain in Massachusetts was influenced by a substantial package of incentives, which includes up to $18 million in tax credits from the Massachusetts Life Sciences Center and an additional $18 million in property tax breaks from Somerville. Driscoll remarked that TransMedics exemplifies the type of innovative business that should thrive in the state.
“The key partnership with Brian … opened the door for a key partnership with Waleed and the folks at TransMedics,” Driscoll stated. She emphasized the significance of this expansion, declaring, “If you’re building the future, Massachusetts wants to build it with you.”
Johnson’s relationship with TransMedics began in 2024 when he sought ways to enhance the company’s visibility. Although the publicly traded firm was well-known on Wall Street, it lacked local recognition. Johnson became a trusted advisor, focused not on membership dues but on fostering growth within the state’s med-tech sector.
“We want companies growing here,” Johnson noted. “The only way we’re going to keep this economic engine going is by rolling up our sleeves and working for the benefit of the ecosystem.”
Johnson’s proactive approach and collaborative efforts with state leaders were pivotal in retaining TransMedics, ultimately demonstrating the importance of local support for high-tech businesses.
