Flexan acquires IntroMed, expands medical offerings

LINCOLNSHIRE, Ill.—Flexan L.L.C. continues to add valuable pieces to its medical operations, as it recently acquired IntroMed L.L.C., a manufacturer of patented sheath introducers used in catheter placements.

Based in Salt Lake City, IntroMed operates out of a 6,000-sq.-ft. operation with 25 employees. The firm utilizes polyurethane, high performance plastics and acrylic polymers to produce its parts.

Financial details were not disclosed. Flexan CEO Jim Fitzgerald said the unique technology was just one part of IntroMed's appeal.

"What we really saw in IntroMed was the alignment with our focus of being an engineering partner of any customer in any space that's trying to solve a technical problem, leveraging our knowledge of how to work in the polymer category to create a sub-assembly or finished device that will deliver some value in the market," Fitzgerald said.

"While we now have this one particular patented sheath, more broadly it's another example of collaborating with your customers to put more innovative products out on the market that allows them to gain additional market share."

IntroMed sources its extruded products and performs the secondary operations—overmolding, tipping, boding and printing—in-house. Flexan will allow IntroMed to source those extrusions internally through its expanding thermoplastic extrusion capabilities.

In December 2016, Flexan bought Medron L.L.C., based out of the same complex as IntroMed. The firm since has invested to add thermoplastic extrusion capabilities and, in September 2017, secured an adjacent 6,700-sq.-ft. building for future business.

Medron offers a range of outsourcing services, including high volume manufacturing, customer private label capability, design engineering, product development and prototyping. It works with a variety of materials—primarily urethanes and thermoplastics—at its two Salt Lake City facilities.

"We see a lot of benefit going forward in the ability to be vertically integrated," Fitzgerald said. "We've made the investments to bring thermoplastic extrusion into the Medron facility already. New business opportunities for IntroMed will have the ability to be sourced in-house to help accelerate product development timelines and enhance efficiencies in the supply chain."

IntroMed was founded in 2005 by Ron Wortley, who also founded Medron. He, along with Dave Wortley and Eric King, managed both Medron and IntroMed, but the two businesses operated as stand-alone entities.

King and the remaining employees will transfer with the business. Ron Wortley already had been retired prior to the deal and Dave Wortley announced his retirement following the transaction.

"They saw that same opportunity for the IntroMed platform to have an accelerated growth rate," Fitzgerald said. "The idea that they felt comfortable with our leadership style, the business decisions they saw us make and the benefit it was bringing to our customers and employees, I believe they wanted the same outcome for IntroMed."

Based in Lincolnshire, Flexan is a global manufacturer of high-precision silicone, rubber and thermoplastic components and extruded products. The firm is owned by Linden Capital Partners, a Chicago-based private equity firm focused exclusively on leveraged buyouts in the health care and life sciences industries.

Flexan's medical brands are FMI and Medron. Bringing IntroMed and its technology base, which is primarily focused on introducers to support vascular areas, will open up new opportunities for all three.

IntroMed's patented technology is an introducer with a special valve that helps prevent backflow. Fitzgerald also described the cross-selling opportunity between the companies as "tremendous," with each area bringing something unique.

FMI focuses mainly on silicone components; Medron brings secondary operations, manufacturing and now thermoplastic extrusion; and Flexan's namesake brand provides precision components in a non-clean room environment, also operating a plant in China.

"There's just a ton of natural synergies," Fitzgerald said. "Flexan and Medron have a team of external sales professionals that continue to work with customers. IntroMed did not have a selling organization, so we think it will be easier for the IntroMed customers to do business with us in the future because of the investment in a direct sales organization."