MedPlast Inc. (Tempe, AZ) continued its rapid growth track with the acquisition of United Plastics Group (UPG), giving Medplast ownership of medical molding plants in China. MedPlast CEO Harold Faig told PlasticsToday in an interview last fall that MedPlast wanted to buy a company with facilities in China.
UPG also sells to the industrial and datacenter markets with operations in the U.S., China, Mexico, and Wales.
"The combination of MedPlast and UPG represents tremendous opportunities for both firms and for our customers," Faig said in a press release. "MedPlast's enhanced global footprint and added technical capabilities will bring powerful synergies to customers looking for creative solutions to their design, development and manufacturing challenges."
Matt Langton, VP, sales and marketing of UPG (Oak Brook, IL), echoed Faig's comments that the company's complement each other. "UPG brings a wide range of value-added capabilities to the table, including partial- and full-assembly, contract sterilization, lab services as well as global supply chain and logistics management," said Langton. MedPlast'c core focus is injection molding, but Faig has added several other capabilities to meet the requirements of major medical device manufacturing. Examples include blowmolding, silicone extrusion, and compression molding. Both companies do insert and overmolding for the medical industry.
There has been a significant consolidation of top-tier medical contract manufacturing involving plastics assets in the past four years as companies position themselves to meet the quality and technical demands of the expanding medical sector. Many OEMs increasingly are outsourcing plastics manufacturing as they focus on other areas. One exception is Beckton, Dickinson, which is believed to operate more than 2000 injection molding machines.
One of the goals for the new mega medical molders is global expansion, particularly in Asia, which is emerging as a major market for medical devices.
"Having state-of-the art facilities in China, including precision mold making, will increase options for MedPlast customers," noted Tom Opielowski, president of UPG China. He said that UPG also brings expertise in worldwide project management.
The combined company has a global footprint with nine manufacturing locations in the U.S., four in China, one in Mexico, and one in Wales. Mold making capabilities are located in North America and China.
"The acquisition of UPG further enhances our position as an integrated, one-stop supplier for the healthcare and non-medical product markets," Faig said. "More than ever, we will offer our customers the efficiencies, support and expertise of a complete solutions provider."