Injection molder Technimark LLC is acquiring Ci Medical Technologies Inc. in a move that will jump start the company's move into the health care field.
Ci Medical, founded in 1971 and formerly known as Classic Industries Inc., is a Latrobe, Pa.-based maker of specialty medical components.
Technimark, owned by Pritzker Group, is buying Ci Medical from private equity firm Altaris Capital Partners LLC of New York for an undisclosed price.
Asheboro, N.C.-based Technimark adds five locations and 550 employees through the deal and now has 14 sites around the world, according to Michael Nelson, an investment partner with Pritzker.
“Ci is a manufacturer of custom injection molded components entirely for the healthcare market. Ci specializes in detailed, difficult, scientific molding, contract manufacturing, assembly, packaging and logistics entirely for the healthcare market,” Nelson said in an interview with Plastics News. “It's a great complement to Technimark's capabilities and one we're excited about.”
Technimark recently unveiled a desire to expand into the health care field. This is the first deal to take advantage of that growth strategy. But Nelson said it won't be the last.
Ci Medical has manufacturing locations in Latrobe; El Paso, Texas; Ponce, Puerto Rico; Durham, England; and Juarez, Mexico.
“This partnership puts us in a great position for long-term growth and will allow the teams to work together to build lasting value,” Ci Medical CEO Robert Subasic Jr. said in a statement.
“They serve some of the largest health care OEMs around. Where we really think the opportunities exist is to broaden their capability set so Ci can win not only new customers but win more business from the customer set they serve,” Nelson said.
While privately held Pritzker Group of Chicago does not publicly discuss financials, Nelson described Ci Medical as “a middle market business.
“Large health care manufacturers like a Johnson & Johnson or a Glaxo are looking for partners that have a global footprint and have the resources to continue innovating,” Nelson said.
Pritzker was in discussions with Altaris for more than a year before striking a deal.
“We're long-term investors. We think this is just the beginning of a growing health care strategy for Technimark. We are, over time, going to develop what we call a Technimark healthcare division. It's important that your customers know you are dedicated to healthcare, which we certainly are,” Nelson said. “The plan is to continue both organic and acquisitive growth.
“Ci represents a terrific leap forward,” he said.