Skip to main content
Sister Publication Links
  • Sustainable Plastics
  • Rubber News
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • Processor News
    • Suppliers
    • More News
    • Digital Edition
    • End Markets
    • Special Reports
    • Newsletters
    • Resin pricing news
    • Videos
    • Injection Molding
    • Blow Molding
    • Film & Sheet
    • Pipe/Profile/Tubing
    • Rotomolding
    • Thermoforming
    • Recycling
    • Machinery
    • Materials
    • Molds/Tooling
    • Product news
    • Design
    • Mergers & Acquisitions
    • Sustainability
    • Public Policy
    • Material Insights Videos
    • Numbers that Matter
    • Automotive
    • Packaging
    • Medical
    • Consumer Products
    • Construction
    • CEO Issue
    • Diversity
    • Best Places to Work
      • 2022 winners
    • Processor of the Year
    • Rising Stars
    • Women Breaking the Mold
  • Opinion
    • The Plastics Blog
    • Kickstart
    • One Good Resin
    • BRICS and Plastics
    • All Things Data
    • Viewpoint
    • From Pillar to Post
    • Perspective
    • Mailbag
    • Fake Plastic Trees
  • Shop Floor
    • Blending
    • Compounding
    • Drying
    • Injection Molding
    • Purging
    • Robotics
    • Size Reduction
    • Structural Foam
    • Tooling
    • Training
  • Events
    • Plastics News Events
    • Industry Events
    • Injection Molding & Design Expo
    • Livestreams/Webinars
    • Editorial Livestreams
    • Ask the Expert
    • Plastics News Events Library
    • Processor of the Year submissions
    • Plastics News Executive Forum
    • Injection Molding & Design Expo
    • Plastics News Caps & Closures
    • Women Breaking the Mold Networking Forum
    • Plastics in Automotive
    • Injection Molding & Design Expo
    • Reuters Responsible Business Europe 2022
    • Reifenhäuser Technologies Livestreams
    • Polymer Points Live
    • Numbers that Matter Live
    • Plastics in Politics Live
    • Sustainable Plastics Live
    • Plastics Caps & Closures Library
    • Plastics in Healthcare Library
    • Women Breaking the Mold Networking Forum Library
  • Resin Prices
    • All Resins
    • Commodity TPs
    • High Temp TPs
    • ETPs
    • Thermosets
    • Recycled Plastics
    • Historic Commodity Thermoplastics
    • Historic High Temp Thermoplastics
    • Historic Engineering Thermoplastics
    • Historic Thermosets
    • Historic Recycled Plastics
  • Rankings & Data
    • Injection Molders
    • Blow Molders
    • Film Sheet
    • Thermoformers
    • Pipe Profile Tubing
    • Rotomolders
    • Mold/Toolmakers
    • LSR Processors
    • Recyclers
    • Compounders - List
    • Association - List
    • Plastic Lumber - List
    • All
  • Directory
  • Custom
    • Sponsored Content
    • Conair Sponsored Content
    • KraussMaffei Sponsored Content
    • ENGEL Sponsored Content
    • White Papers
    • Classifieds
    • Place an Ad
    • Sign up for Early Classified
MENU
Breadcrumb
  1. Home
  2. News
May 07, 2014 02:00 AM

Phillips-Medisize sold to private equity group Golden Gate Capital

Michael Lauzon
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Phillips-Medisize Corp.
    Phillips-Medisize Corp. has manufacturing in the U.S., Mexico, Europe and China.

    Medical molder Phillips-Medisize Corp. is being bought by private equity firm Golden Gate Capital.

    The two firms announced a definitive agreement on May 7 and said the deal should close “in the coming months.” They did not disclose terms.

    The announcement confirmed recent speculation that Kohlberg & Co. LLC was negotiating to sell the company. A recent Wall Street Journal report indicated the sale price could be as much as $800 million, or about 10 times Phillips-Medisize's estimated earnings before interest, taxes, depreciation and amortization. Golden Gate would not comment on the figures, and Phillips-Medisize did not have any comment beyond the news release.

    Phillips-Medisize of Hudson, Wis., is a major injection molder that says it does 75 percent of its business in health care applications such as medical devices, pharmaceutical packaging, drug delivery, glucose meters, drug inhalation devices, and disposable surgical devices and diagnostic components. The company also is a player in defense, automotive and consumer markets.

    “Golden Gate's financial support, successful track record of backing manufacturing companies and deep industry relationships will help perpetuate the company's strong momentum and further solidify our market-leading position,” stated Phillips-Medisize President and CEO Matt Jennings in a news release.

    Golden Gate of San Francisco lists its major portfolio industries as financial services, industrials and energy, information technology and business services, retail-related markets, software and technical hardware, telecommunications and semiconductors. It has no other health care related business but its industrial companies have expertise in design, production and supply-chain management. Golden Gate has about $12 billion in capital under management.

    Phillips-Medisize provides a strong design and manufacturing platform with global scale, noted Golden Gate managing director Rajeev Amara in a news release. He indicated Phillips-Medisize is poised to grow from the trend among original equipment manufacturers to outsource medical component needs. Golden Gate will invest in the molder to support its growth, he added.

    Phillips-Medisize said its annual sales are about $600 million. It had estimated North American injection molding sales of $275 million for the fiscal year ending in June 2012, according to data from Plastics News' injection molders raking survey. Ten of its 11 North American injection molding plants are in Wisconsin, the other is in Mountain View, Calif. The survey estimated Phillips-Medisize had 228 injection presses and about 1,200 employees in North America.

    Phillips-Medisize also has a manufacturing footprint in Europe, Mexico and China. Most of the European operations relate to Kohlberg's acquisition of Dutch firm Medisize Inc. when they combined it with Phillips Plastics Corp. in 2011. At the time, Medisize's 2010 sales were reported at about $170 million.

    Phillips-Medisize expanded into China and Mexico in 2013 through acquisition. New business led it to expand its Finland operation this year.

    In total, Phillips-Medisize employs more than 3,100 at 19 locations around the world.

    Last October Jennings said his company will set up a design center in its Suzhou, China, plant. Current design operations are centered in Hudson and Mountain View.

    Phillips-Medisize boasts that it helps medical products OEMs get new products to market quickly by offering integrated design, molding and automation services that drive costs down while ensuring high quality. In addition to thermoplastic injection molding and assembly, it has capacity for molding liquid silicone rubber, ceramics and magnesium along with other metals.

    Kohlberg partner Chris Anderson said in a news release that his company is “pleased with the outcome of our investment in Phillips-Medisize.” Kohlberg bought Phillips in 2010.

    Goldman, Sachs & Co. and Ropes & Gray LLP acted as financial advisor and legal counsel, respectively, for Phillips-Medisize. Robert W Baird was Golden Gate's financial advisor and Kirkland & Ellis LLP was its legal counsel.

    RECOMMENDED FOR YOU
    Polymer Points Live
    Letter
    to the
    Editor

    Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Plastics News would love to hear from you. Email your letter to Editor at [email protected]

    Most Popular
    1
    Report says plastics have positive role in climate fight
    2
    Stellantis rescinds ‘burdensome' contract terms for suppliers
    3
    SK Capital buys additives maker Valtris Specialty
    4
    ExxonMobil set to bring on new olefinic elastomer capacity
    5
    Viking Plastics invests $3 million in eight new injection molding machines
    SIGN UP FOR TO RECEIVE THESE EMAILS AND ENEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Get our newsletters

    Staying current is easy with Plastics News delivered straight to your inbox, free of charge.

    Subscribe today

    Subscribe to Plastics News

    Subscribe now
    Connect with Us
    • LinkedIn
    • Facebook
    • Twitter
    • Instagram

    Plastics News covers the business of the global plastics industry. We report news, gather data and deliver timely information that provides our readers with a competitive advantage.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI 48207-2997

    Customer Service:
    877-320-1723

    Resources
    • About
    • Staff
    • Editorial Calendar
    • Media Kit
    • Data Store
    • Digital Edition
    • Custom Content
    • People
    • Contact
    • Careers
    • Sitemap
    Related Crain Publications
    • Sustainable Plastics
    • Rubber News
    • Urethanes Technology
    • European Rubber Journal
    • Tire Business
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • News
      • Processor News
        • Injection Molding
        • Blow Molding
        • Film & Sheet
        • Pipe/Profile/Tubing
        • Rotomolding
        • Thermoforming
        • Recycling
      • Suppliers
        • Machinery
        • Materials
        • Molds/Tooling
        • Product news
        • Design
      • More News
        • Mergers & Acquisitions
        • Sustainability
        • Public Policy
        • Material Insights Videos
        • Numbers that Matter
      • Digital Edition
      • End Markets
        • Automotive
        • Packaging
        • Medical
        • Consumer Products
        • Construction
      • Special Reports
        • CEO Issue
        • Diversity
        • Best Places to Work
          • 2022 winners
        • Processor of the Year
        • Rising Stars
        • Women Breaking the Mold
      • Newsletters
      • Resin pricing news
      • Videos
    • Opinion
      • The Plastics Blog
      • Kickstart
      • One Good Resin
      • BRICS and Plastics
      • All Things Data
      • Viewpoint
      • From Pillar to Post
      • Perspective
      • Mailbag
      • Fake Plastic Trees
    • Shop Floor
      • Blending
      • Compounding
      • Drying
      • Injection Molding
      • Purging
      • Robotics
      • Size Reduction
      • Structural Foam
      • Tooling
      • Training
    • Events
      • Plastics News Events
        • Plastics News Executive Forum
        • Injection Molding & Design Expo
        • Plastics News Caps & Closures
        • Women Breaking the Mold Networking Forum
        • Plastics in Automotive
      • Industry Events
        • Injection Molding & Design Expo
      • Injection Molding & Design Expo
      • Livestreams/Webinars
        • Reuters Responsible Business Europe 2022
        • Reifenhäuser Technologies Livestreams
      • Editorial Livestreams
        • Polymer Points Live
        • Numbers that Matter Live
        • Plastics in Politics Live
        • Sustainable Plastics Live
      • Ask the Expert
      • Plastics News Events Library
        • Plastics Caps & Closures Library
        • Plastics in Healthcare Library
        • Women Breaking the Mold Networking Forum Library
      • Processor of the Year submissions
    • Resin Prices
      • All Resins
      • Commodity TPs
        • Historic Commodity Thermoplastics
      • High Temp TPs
        • Historic High Temp Thermoplastics
      • ETPs
        • Historic Engineering Thermoplastics
      • Thermosets
        • Historic Thermosets
      • Recycled Plastics
        • Historic Recycled Plastics
    • Rankings & Data
      • Injection Molders
      • Blow Molders
      • Film Sheet
      • Thermoformers
      • Pipe Profile Tubing
      • Rotomolders
      • Mold/Toolmakers
      • LSR Processors
      • Recyclers
      • Compounders - List
      • Association - List
      • Plastic Lumber - List
      • All
    • Directory
    • Custom
      • Sponsored Content
      • Conair Sponsored Content
      • KraussMaffei Sponsored Content
      • ENGEL Sponsored Content
      • White Papers
      • Classifieds
        • Place an Ad
        • Sign up for Early Classified