MedPlast sells United Plastics Group

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A division of medical injection molder MedPlast Inc. has been acquired by the Turnspire Capital Partners private equity group, the companies announced June 9.

MedPlast, itself owned by Baird Capital Partners, sold its custom molding United Plastics Group, Inc. to New York-based Turnspire for an undisclosed amount.

UPG is a global manufacturer of complex assembled components and finished products primarily serving the data center, automotive, energy and industrial markets with manufacturing facilities in Houston; Cardiff, Wales; and Suzhou, China.

Turnspire plans to keep UPG an independent company under its ownership and leverage UPG’s core competencies to work with customers in the automotive, industry, instrumentation and energy sectors, starting with design and precision specs and working as a partner all the way through final assembly.

“We are targeting customers and sectors where we are selling to the engineering department, not just the purchasing department,” said Turnspire Managing Partner Ilya Koffman in a June 9 telephone interview.

“We’re open for business,” Koffman said. “We’re excited to continue to serve our existing customers and we’re looking to continue to grow organically and/or through select acquisitions.”

MedPlast acquired UPG in 2012 and integrated most of the medical products facilities into MedPlast’s own operations, with non-medical facilities retaining the UPG name. The UPG purchase provided MedPlast an entree in to China, where it now has four plants, the most recent opened in late 2015.

Janet Century Medplast Inc. CEO Harold Faig, right, has worked closely with investor Andrew Brickman, left, of Baird Capital Partners to create a medical supplier with multiple capabilities.

“We are a health care company,” said MedPlast CEO Harold Faig. “We are focused on medical devices and this just made strategic sense for us,” The company continues to move in the direction of being an end-to-end provider, serving outsourcing health care OEMs, he said.

Though the company’s non-medical holdings were not explicitly up for sale over the last three years, Faig has spoken in the past of the possible sale of UPG.

“We operate those as a standalone business and retain the brand,” Faig said in a 2013 interview with Plastics News. “They are profitable and have good technologies,” employed about 200 of MedPlast’s total staff of 1,700, but did not fit the MedPlast focus on health care, he said.

Formed in 2008 and based in based in Tempe, Ariz., MedPlast ranks 27th in Plastics News’ upcoming ranking of North American injection molders, with an estimated $275 million in annual sales and 800 employees at manufacturing locations in Chicopee, Mass.; Elkhorn, Wis.; Fremont, Calif.; Monticello, Iowa; Tijuana, Mexico; West Berlin, N.J.; Westfield, Pa.

The deal was managed for the buyers by Chapman & Cutler LLP and by Stout Risius Ross Advisors LLC on the sell side.