Nexcore Technology said today it acquired Phase 2 Medical Manufacturing for an undisclosed amount.
Phase 2 manufactures a wide variety of Class I, II and II single-use instruments and disposable medical devices, Waldwick, N.J.-based Nexcore said. Phase 2 has locations in Rochester, N.H., Lafayette, Colo and Tijuana.
“Phase 2 has developed a world-class team that has been pleasing customers for more than two decades, and this acquisition will permit us to create a deeper toolbox of solutions, expand our value proposition, and enhance our ability to serve customers and offer them a unified, ‘single-source of supply’ for a variety of complex manufacturing and service needs for medical capital equipment and single-use disposable devices. They have been doing a wonderful job and we intend for that to continue as we look forward to building on the foundation created by Phase 2 and continuing to grow Nexcore by serving the increasing needs of our collective customers,” Nexcore prez & CEO Carlo Colesanti said in a press release.
Eaglehill Advisors, Plexus Capital and Spring Capital Partners provided mezzanine debt and co-equity investments for the transaction, while J.P. Morgan Chase provided senior debt financing.
“Nexcore’s acquisition of Phase 2 adheres to our strategy of creating a leading contract manufacturer focused exclusively on the medical device industry. The combination of Nexcore and Phase 2 allows us to quickly establish a leading contract manufacturing suppler for medical device OEMs. The new company offers customers a full suite of services across a comprehensive range including concept, feasibility, design, development, manufacturing and after-market services. Additionally, we have diversified our customer base, gained access to a new market segment, expanded our geographic presence and enabled the two companies to share best practices,” Nexcore board member & KCO principal Ken Heuer said in a prepared statement.
Former Phase 2 prez Adam Prime will stay on as a senior VP & chief lean officer in the newly combined business, Nexcore said.
“I am truly excited by the prospects for our business and the related advantages our customers and employees will experience together with Nexcore. I look forward to working closely with Carlo, the management team, and KCO to continue to build an industry-leading company,” Prime said in a prepared release.
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