FRANKLIN, Wis. (April 2, 2009)—Silicone medical tubing maker Vesta Inc. has acquired ExtruMed L.L.C., which produces thermoplastic tubing.
The terms of the sale weren't disclosed. GE Healthcare Financial provided an $89 million credit line to Vesta to help it complete the acquisition.
The purchase combines two medical tubing contract manufacturers with complementary product lines, creating a company that can offer both silicone and thermoplastic tubing for cardiovascular, neurological and other intravenous catheter markets, the firms said. Combined, the firms have five factories and make more than 60 million medical device components annually.
“This is a merger of strategies and focuses, not a consolidation of facilities” between the two companies, said Jim Fitzgerald, vice president of sales and marketing of Franklin-based Vesta.
Fitzgerald said both Vesta and ExtruMed will keep their own identities.
“At this time, we do not have plans to change the names associated with either business,” or to consolidate headquarters at a single location,” he said. ExtruMed is based in Placentia, Calif.
Lake Forest, Ill.-based RoundTable Healthcare Partners has owned a majority stake in Vesta since August 2007. The private equity firm is focused exclusively on the healthcare industry.
Joseph Damico, Vesta's chairman and Roundtable founding partner, said in a news release that adding ExtruMed's capabilities in thermoplastics to Vesta's in silicone component manufacturing broadens the capabilities the two firms can provide to their customers.