Wacker buys Bio Med Sciences to boost business in advanced wound, scar care

ANN ARBOR, Mich.—Wacker Chemical Corp. has expanded its footprint in the silicone-coated medical space, adding Pennsylvania-based Bio Med Sciences Inc. to its portfolio.

Terms of the transaction, which closed May 30, were not disclosed.

"With our own prototyping ability, we now have an opportunity to demonstrate the performance attributes and advantages of our silicones to coaters, converters and designers of medical devices," said Christoph Kowitz, CEO and president of Wacker Chemical Corp., the U.S. branch of Munich-based Wacker Chemie A.G.

The new business unit, Wacker Silicone Manufactured Innovations L.L.C., will provide contract manufacturing services for the overall advanced wound care and scar management markets.

Wacker will leverage Bio Med's expertise in processing recommendations for burn treatment, dermatology, cosmetic surgery, long-term care and rehabilitation products.

WSMI is based in Allentown, Pa. Existing Bio Med Sciences consumer products and related brands will remain with Bio Med Sciences and are not part of the acquisition.

"We will be able to support coaters who do not use silicones or lack access to assets for coating with silicones," Kowitz said.

A majority of Bio Med's work force will transfer to WSMI, Wacker said.

The new firm now boasts 100-percent vertical integration, from production of silicone-coated adhesive products to the manufacture of medical materials.

With their biocompatability and stick-to-skin traits, silicones are inherently excellent for skin and wound care.

The skin fixation market has been growing in popularity for years, Wacker said.

"The acquisition is an important step for us," said Wacker board member Christian Kirsten. "Now we have the capability to drive forward our business with silicone specialties with even greater vigor.

"By taking over Bio Med Sciences' assets, technology and know-how, we are now a solution provider for the health care industry. This new business perfectly complements our existing solutions of silicone-based gel adhesives for medical and cosmetic applications."

Wacker Chemical Corp. was founded in 1965 and includes the Andes region of South America, in addition to North and Central America.

Administration, marketing and sales, and several technical competence centers for the health care, pharmaceutical, construction, automotive and food industries are located in Ann Arbor, which also is home to the Wacker Academy.

Wacker Chemical Corp. represents about 16 percent ($1.1 billion) of Wacker Chemie's overall net sales of about $7 billion per year, and operates seven production sites in the Midwest.

The company has pumped millions into specific North and Central American locations over the past several years, including sites in Michigan and Tennessee.

Kowitz told Rubber News May 15 that Wacker remains bullish on the NCA market.

The U.S. market, in particular, excels with its overall business environment, infrastructure and especially energy prices, which are about five times less than what the firm sees in its home country of Germany, Kowitz said.