Surgical Innovations, the Leeds-based manufacturer of plastic medical devices, is set to receive up to £5.05m from the government's Regional Growth Fund (RGF).
The group said it had formally signed a RGF final grant offer letter and that the funds would go towards developing a "state-of-the-art research and development facility and clinical training centre".
Surgical Innovations said there was a "reasonable expectation" of the new facilities creating more than 300 jobs in the Leeds City region during the next 12 years.
Part of the funding arrangement will see the group commit to £8.7m in capital investment by the end of 2015.
Graham Bowland, Surgical Innovations' chief executive, said the government funding would help grow the international profile of the business, deliver sustainable jobs "and achieve future growth for the company and the Leeds City region through the establishment of the Leeds Medical Technology Park".
The new clinical centre would help Surgical Innovations "further the relationships the group has with leading clinicians, both UK and international, and will act as a magnet for the pioneering surgeons looking to develop new skills and instrumentation in minimal invasive surgery", he added.
The RFG is a £2.4bn government scheme to help parts of the UK that were previously reliant upon the public sector make the transition to a private sector-led economy.