Smith & Nephew is to create 800 new jobs in Malaysia as the FTSE 100 medical equipment manufacturer opens a new high-tech facility.
The business, which was first founded in Hull in 1856, said the expansion would support its growing orthopaedics division.
Construction on the new facility, at the Batu Kawan Industrial Park in Penang, is expected to start in early 2020, with production starting in 2022.
Smith & Nephew said it expected to create up to 800 new jobs over the next five years.
Mark Gladwell, president of global operations at Smith & Nephew, said: “Penang provides a great balance of manufacturing expertise, stable economy, established infrastructure, long history of foreign direct investment and established supply chain.
“Investing in Malaysia gives us a new presence close to our highest growth markets and enables Smith & Nephew to be part of a growing medical device centre of excellence.”
The new facility will initially be 250,000sq.ft in size, with the opportunity to expand in the future if required.
Recruitment is planned to begin for the new centre in 2020, with positions advertised locally.
The cost of the project has not been disclosed.
Chow Kon Yeow, The Right Honourable Chief Minister of Penang, said: “The medical devices industry is playing an increasingly important role in Penang over the past 10 years.
“Thanks to 50 years of industrial experience and a robust supply chain, Penang’s supporting infrastructure is capable of meeting the stringent demands of the highly-regulated medical devices industry.
“The well-connected industry ecosystem is one of the State’s key competitive advantages in attracting high quality medical technology and devices investments.
“With the addition of Smith & Nephew, Penang is poised to further entrench itself as a hub for the medical technology and devices industry.”
Last month, Smith & Nephew raised its 2019 revenue growth target for the third time after a strong three months of sales.
The manufacturer, one of Hull’s biggest employers, saw sales rise by 6.5 per cent between July and the end of September, compared to the same period in 2018.
Smith & Nephew’s orthopaedics and sports medicine department performed particularly well, as the FTSE 100 business continued its strong performance in 2019.
In what was the final full quarter before current CEO Namal Nawana steps down from his role, Smith & Nephew raised its full-year expectations for 2019.
The company now expects revenue to grow by as much as 4.5 per cent this year.
