Orangeburg, S.C.-based Zeus Industrial Products Inc. on June 2 finalized its agreement to acquire San Jose, Calif.-based CathX Medical Inc., a medical device contract manufacturer.
CathX leadership will continue to manage the San Jose extrusion facility, services and team members under the global leadership of Steve Peterson, president and CEO of Zeus, a June 9 news release said.
"As their trusted supply partner, adding contract design and manufacturing capabilities is a natural progression for Zeus and our customer partnerships," Peterson said in the release. "While component manufacturing has always been and remains our core business, adding contract design and manufacturing capabilities increases our strategic value for customers"
"We believe this development is a natural progression for Zeus and our customer partnerships," he added.
Zeus would not comment on the terms of the deal in response to inquiry by Plastics News.
"With access to greater resources, we can deepen our customer partnerships by offering increased support, stability, and opportunities," Suresh Sainath, co-founder and president of CathX Medical said. "We are excited to expedite plans to expand our team and San Jose facility so that we can continue to collaborate closely with customers in delivering outstanding innovation and customer successes well into the future."
"As medical device companies and OEMs face increasing pressure to constantly innovate, solve complex problems, and bring solutions to market faster than ever before, Zeus is positioning itself to increase its strategic value for customers significantly," the release said.
"In under 18 months, we found ourselves on a steep growth trajectory and quickly reaching capacity," Sainath said. "Demand for our contract manufacturing services has accelerated more than projected. So, years ahead of schedule, we have expedited our expansion and chose Zeus to help propel us forward."
CathX offers a single source for catheter design and engineering services, rapid prototyping, manufacturing, and full or sub-assemblies.
"We now have access to greater resources to service our customers, including multiple facilities, worldwide locations, high-volume manufacturing capabilities, and the supporting internal infrastructure," Sainath added. "Most importantly, Zeus shares our strong corporate values."
As part of a global organization, CathX's customers will also be able to access Zeus' research facilities and comprehensive product lines across North America and internationally.