TWINSBURG, Ohio—Q Holding Co. is about to make a big splash in Europe.
The firm has entered into an agreement to purchase Degania Silicone Ltd., a manufacturer of medical catheters with its silicone technology for the European/Middle East markets, strengthening Q's global footprint in a key geographic region.
The deal, which Q CEO Randy Ross said is projected to be finalized in January, will more than double Q Holding's employment to about 3,000 people, with Degania bringing 1,700 associates to the combined company. It also will give Q's global footprint a major boost. The firm currently operates nine facilities—five in the U.S., two in China, one in England and one in Mexico.
Degania operates out of four sites in Israel, France, India and Slovakia, with France and Israel as the firm's primary research and development hubs. Q is acquiring Degania from a trio of private equity firms—Viola Private Equity, Kibbutz Degania Bet and Israel Growth Investors—through its own private equity owner 3i Group P.L.C.
The transaction price was not disclosed. According to a 3i news release, Degania's revenue exceeds $85 million, which more than doubles Q's medical sales. Ross said that Degania's employees will transfer with the firm.
"We really love the culture of the company," Ross said. "We respect what the management team has done with it, their drive and vision for what they want to accomplish. Our objective and our goal is to retain the core management team and give them some enhanced products and technology to work with."