POMONA, Calif.—Polytek Development Corp. could have been looking in a mirror when it found California Medical Innovations.
The pair were a natural fit.
The companies merged on June 5, creating a combined entity that now spans from coast to coast. Polytek's manufacturing facility spans about 75,000 square feet in Easton, Pa. CMI's is about the same size, just on the opposite coast in Pomona. The pair combine to employ about 100 people, again almost evenly split between the two.
The only thing different was their core focuses, but that's a good thing, officials said. Polytek focuses on urethanes and silicones, while CMI targets thermoplastic elastomers, latex and plastisols.
"Not only are we coast to coast, but it's the broadest portfolio of polymers in the molding and casting industry of anybody in the world," said Jonathan Kane, who was named CEO of the combined firm. "Not only are we present there, but we walk in the door of anyone with these kinds of requirements with a full basket of solutions at competitive pricing with the technical resources and support to back it up. That brings a key advantage to our customers. If they're looking for a solution, we create that solution specific to the customer and agnostic to the polymer."
The companies are in the middle of integrating, combining their work forces and technical expertise. The two will continue to operate as separate brands, with Polytek President Joseph Lawrence and CMI President Danny Nathie remaining in their current roles. Yousof Nathie, founder of CMI, also will remain with the company as a principal technologist—giving him the freedom to create value for customers and employees how he sees fit, Kane said.
Financial details were not disclosed and Kane said employment will not be affected. He added that the bulk of the integration process will take about six months. A new name for the combined entity has been discussed, but Kane said nothing has been decided on yet.
In the immediate future, Kane said there are significant cross-selling opportunities between the two firms. Going forward, the company will evaluate adding manufacturing capabilities to their respective sites by strategically localizing production of certain compounds available from the other company's portfolio.
The coast-to-coast footprint will reduce lead times, give the combined company better access to markets and allow it to respond to customers faster, Kane said.
The two companies also operate in similar industries, with the engineered stone market a primary focus, including pavers, veneer stone and retaining walls, among others. The pair also operate in the makeup and special effects realm, and produce products for medical molding and medical device manufacturers.
Kane said they open up opportunities for one another despite operating in similar industries.
"It's very straightforward," Kane said. "Polytek has invested in developing its sales force and distribution substantially, and CMI has invested heavily in its R&D and technology capability. Polytek is capable of reaching the channels and customers that need to be reached in the U.S. and internationally, and CMI has the technical capabilities to support all of the innovation requirements for both companies. The combination works very well together."