Flextronics Eyes the Disposables Market

During the past year, Flextronics (Singapore) has made significant strides to increase its manufacturing capabilities for disposable medical devices. The company expanded its site in Tijuana, Mexico, and acquired SloMedical SRO through a share purchase agreement in October. 

Flextronics acquired SloMedical to expand its capabilities in manufacturing disposable medical devices in a low-cost region of Slovakia. According to Frank Sodha, managing director of SloMedical, the company had reached a point of growth at which it would only be able to further expand and support its customers’ growing needs through a partnership with a larger company.

“With the continued pressure on healthcare costs around the world, the need for cost-competitive manufacturing of disposable medical devices has increased around the world,” says Dan Croteau, president of medical services at Flextronics. “The combination of the strong team in place at SloMedical, the cost-competitive location, and our focus on quality and lean manufacturing will allow Flextronics’s medical segment to deliver more-competitive solutions to European and multinational customers in the region.” Customer feedback about the acquisition has been positive thus far, according to Croteau.

Flextronics will be investing in SloMedical’s business to expand its component manufacturing capabilities and FDA-compliant quality management systems. The company will be integrated into Flextronics Medical’s disposables business unit and will work with the Tijuana facility, which is also specifically focused on disposable medical device manufacturing, to implement common systems and processes.

Last year’s expansion of the Tijuana site allowed Flextronics to further build its vertical integration capabilities of plastic injection molding, plastic extrusion, and cleanroom assembly. According to Croteau, the company will continue to identify strategic capabilities and locations that align with its existing business units. —Maria Fontanazza