Full-service contract manufacturer Cadence Inc. (Staunton, VA) announced today the signing of a definitive agreement to be acquired by Kohlberg & Co., a private equity firm based in Mount Kisco, New York. The acquisition will accelerate the expansion of Cadence’s capabilities and its ability to serve customers in all of its core locations, said the company in a press release. Cadence provides complex, high-precision components and finished devices for advanced surgical and specialty industrial applications.
It was reported that Alan Connor, Cadence President and CEO, will continue to lead the company and that its management team will remain in place. “This transaction is a significant milestone in the history of Cadence and a testament to the outstanding team we have assembled. We are proud of what we have achieved as a team and excited about partnering with Kohlberg and writing the next chapter of the company’s history together,” said Connor.
Cadence originated as a business in 1985 under the name of Specialty Blades. It developed a proprietary CNC sharpening process that brought the company considerable success in manufacturing surgical devices. As its medical manufacturing footprint grew, the company diversified beyond metal fabrication. It now provides an array of plastics manufacturing services, including insert and injection molding in an ISO Class 8 cleanroom. Quality systems at the FDA-registered company are certified to ISO 13485, and it has the capabilities to partner with OEMs from the design stage to delivery of a validated finished product.
In 2013, Cadence inaugurated a dedicated finished device facility in Pittsburgh, PA. The Product Realization Center offers OEM customers design services, regulatory and clinical support, rapid prototyping, cleanroom manufacturing, device assembly, final packaging and labeling, and sterilization management.
In addition to manufacturing highly engineered metal and plastic subassemblies and finished devices for medical device customers across the endoscopy, minimally invasive orthopedics, laparoscopy, robotics and life science sectors, Cadence serves specialty industrial end-markets and the aerospace, defense and automotive industries.
Commenting on the acquisition, Roger Prevot, Operating Partner of Kohlberg, expressed his excitement at “partnering with the team at Cadence. Since its founding in 1985, the company has cultivated a leading market position by designing and delivering highly technical solutions for its customers. We look forward to working closely with Cadence to accelerate, enhance and expand its service offering, while supporting the company’s longstanding commitment to providing exceptional service for each of its customers across all market segments,” said Prevot.
Kohlberg plans to maintain current operations, allowing Cadence’s long-standing tradition of design, development and manufacturing excellence to continue unimpeded. “Kohlberg’s reputation of investment success within the medical device manufacturing sector as well as its track record of fostering world-class operational performance makes them the ideal partner to help us accelerate Cadence’s plans for strategic growth,” added Connor.
