Medical device contract manufacturer Biomerics announced a deal to acquire the medical business of Precision Concepts.
Salt Lake City-based Biomerics said yesterday it plans to buy the medical business and assets of Mooresville, North Carolina-based Precision Concepts International and Winston-Salem, North Carolina-based Precision Concepts Group.
Biomerics did not disclose the terms of the deal, which is expected to close next month. Until then, the companies will operate independently.
The deal will push Biomerics’ total manufacturing footprint above 1.2 million ft2 across 13 locations. Biomerics said that will make it one of the world’s 10 largest interventional contract design and manufacturing organizations (CDMOs).
Precision Concepts medical operations are in Harrisonburg, Virginia; Mebane, North Carolina; Winston-Salem, North Carolina; Haina, Dominican Republic; and Alajuela, Costa Rica.
Biomerics said the deal makes it the largest contract manufacturer in Costa Rica, with approximately 100 engineers and 290,000 ft2 of manufacturing capacity.
The Haina manufacturing location is the first Dominican Republic site for Biomerics.
The current leadership teams at Precision Concepts medical locations will continue to lead those locations.
“Precision Concepts Medical is a recognized leader that offers unique capabilities in micro-metals machining and stamping, injection micro-molding, and micro-assembly processes,” Biomerics CEO Travis Sessions said in a news release. “The addition of these capabilities and manufacturing footprint extends Biomerics’ offerings as a leading supplier to the world’s largest medical device OEMs. We are excited to partner with the talented team at Precision Concepts Medical to deliver our shared vision.”
Precision Concepts CEO Ray Grupinski will join the Biomerics Board of Directors while he continues to lead the Precision Concepts consumer packaging business.
“We are excited for the value this partnership brings to our existing customer base in Costa Rica and interventional OEM partners around the globe,” Grupinski said in the news release. “The thriving medical device ecosystem in Costa Rica and the Dominican Republic aligns well with Biomerics’ culture and innovative core.”
Founded in 1994, Biomerics has eight locations in the U.S., Ireland and Costa Rica. The company said its customers include “20 of the top 35 medical device OEMs in the most attractive markets including structural heart, electrophysiology, robotic surgery, cardiovascular disease, and endoscopy.” Products Biomerics suppliers for those markets include materials, interventional medical plastics, complex extrusion, micromachining of metals and polymers, laser processing, balloons and balloon catheters, advanced catheters and steerables, image-guided intervention and finished device assembly.
Precision Concepts International makes finished medical devices and specialty rigid packaging solutions such as sticks, jars, vials, closures, spouts, bottles and tubes for the medical, pharmaceutical, personal care, food and beverage and nutraceutical industries. Precision Concepts Group has precision micro-stamping, micro-molding, liquid silicon rubber (LSR) molding, injection molding, cleanroom assembly, and various secondary processes.
New Biomerics investment will fuel more M&A
Also yesterday, Onex mid-market private equity platform ONCAP announced a “significant investment” in Biomerics in partnership with Sessions, Biomerics shareholder Wasatch Equity Partners and the family of Precision Concepts Group founder and President Vince Marino.
Terms of that deal were also not disclosed, but ONCAP said it will leave Biomerics “well-capitalized with significant capacity to continue to pursue strategic M&A.”
Onex said it has $51.1 billion in assets under management.