Prism Plastics executives see acquiring a medical molding company as the easiest way to diversify into the medical device space.
If you can't beat them, buy them.
That seems to be the motto at Prism Plastics (Chesterfield, MI), an injection molded plastic automotive parts maker that has tried to break into the medtech space for years.
Medical device companies have trouble believing automotive parts companies are serious about expanding into the space and staying their, Gerry Phillips, Prism's vice president and co-founder candidly told Plastics Today in a recent story. (Like Qmed, Plastics Today is a UBM Canon news website.)
"Suppliers to the automotive industry typically try to get into this market when business is lean and then lose interest as soon as the market picks up again. That worked against us," Phillips told Plastics Today.
The new strategy, then, is to simply buy a company already in the space. Says Phillips: "We are looking to acquire a healthy, growing company that shares our values for tight-tolerance, precision, advanced manufacturing. Basically, we are looking for a $10 million Prism Plastics, with a medical molding specialization."
|Refresh your medical device industry knowledge at MEDevice San Diego, September 1-2, 2015.|
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