Plastic Molding Manufacturing Inc. of Hudson, Mass., has boosted its medical-device and health-care business by buying the assets of Clinton, Mass.-based Res-Tech Corp.
PMM has sold Res-Tech's San-Tech division in Peabody, Mass., to that operation's plant manager. Terms of the deals were not disclosed.
The addition of Res-Tech as a wholly owned subsidiary will fuel PMM's expansion plans. We are looking to expand the medical applications and we will add a clean room and go after more high-volume work, said PMM President Dick McKenney.
Res-Tech's former president, John Schmidt, will continue as vice president of customer relations. The Res-Tech name will be kept because of its strong recognition factor, he added.
The 34-year-old Res-Tech has manufacturing in Clinton and Leominster, Mass., and both plants remain open, as does PMM's operation in Hudson. Overall, the three locations employ 85.
Res-Tech, with more than 60,000 square feet of production space, reported annual sales of around $8 million. The company is a contract manufacturer of injection molded plastic parts for industries including medical, industrial, defense, automotive, food service and construction.
McKenney said sales, engineering and accounting will be combined at Hudson. A new clean room is tentatively planned for Leominster. The acquisition also offers PMM the chance to increase automation.
San-Tech, which does product development, low-volume molding and rapid prototyping, was sold to longtime plant manager Carrie Denley. The new company will be called Black Diamond Manufacturing & Engineering Inc. and will continue at the Peabody site, Denley said.
She plans to obtain certification as a woman-owned business, which should help the firm get more government work. The company deals with government, consumer, OEM, medical and sports markets.
The quotes are actually up this year, and I think this will be a good year, she said.
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