Xtant Medical to shut down Dayton, Ohio facility
Xtant Medical to shut down Dayton, Ohio facility (MassDevice)
The Dayton facility employs 55 people in an array of quality assurance, regulatory, inventory management, finance, engineering and distribution jobs, the company said, adding that many of these functions will transition to the Montana facility.
Xtant said it expects to realize an annual cost savings of more than $2 million, once the transition is done. The one-time cost linked to this change is $1.5 million, the company said.
“In an effort to maximize the benefit of the 2015 merger with X-Spine, and optimize synergies including efficiencies and cost savings, we made the difficult decision of transitioning operations to Montana and closing the Dayton facility,” CEO Carl O’Connell said in prepared remarks. “Hardware will continue to be an important aspect of our business, and is an area we intend to build on in the future. We remain excited about the new technologies in development.
“With the continued efforts in 2017 towards restructuring and reducing costs, we are looking to strategically invest in both our existing business and new market opportunities, for hardware and biologics in 2018. We will be working to make this transition as smooth as possible for our employees and our customers.”