Arcline’s Medical Manufacturing Platform Continues Build

Arcline’s Medical Manufacturing Platform Continues Build

The medical equipment group is acquired from Confluent Medical Technologies, a portfolio company of TPG Capital and Ampersand Capital

The acquired operations produce balloon-forming and catheter manufacturing equipment and will immediately be rebranded as Interface Catheter Solutions

Medical Manufacturing Technologies (MMT), a portfolio company of Arcline Investment, has acquired the equipment manufacturing group of Confluent Medical Technologies, a portfolio company of TPG Capital and Ampersand Capital Partners.

Confluent Medical Technologies is a Scottsdale, Arizona-headquartered provider of outsourced design and manufacturing services to the medical device industry. The company’s products include Nitinol components, balloon-expandable stents and catheters, biomedical textiles, and guidewires. Nitinol is an alloy of nickel and titanium with “shape memory” properties. A device made from Nitinol can remember its original shape and return to it when heated.

TPG Capital acquired a majority equity interest in Confluent from Ampersand in 2022, with Ampersand maintaining a minority equity interest. Ampersand first invested in Confluent (then Nitinol Devices & Components) in April 2011 and the company changed its name to Confluent Medical Technologies in January 2017.

The operations of Confluent’s equipment manufacturing group (EMG) include the company’s balloon-forming equipment, testing, and catheter equipment manufacturing capabilities. Post-closing, EMG will be rebranded as Interface Catheter Solutions and under the terms of the transaction agreement, MMT will continue manufacturing EMG products at Confluent’s facility in Laguna Niguel, California.

Source: Confluent Medical Technologies

“MMT is the perfect steward for the Interface brand,” said Dean Schauer, the CEO of Confluent. “This transaction allows Confluent to focus our energy on our materials science capabilities for the production of Nitinol components, textiles, balloons, balloon catheters, and polymer components.”

Charlotte-headquartered MMT designs, manufactures, and services machinery used in the production of interventional medical devices, components, and consumables, including guidewires, catheters, and microcoils. Company-owned brands include CATHTIP, Engineering By Design, Glebar, SYNEO, and Tridex. Arcline first invested in MMT in 2019.

“The acquisition of the renowned Interface Catheter Solutions equipment line is a strategic investment that expands our ability to meet the growing needs of our customers,” said Robbie Atkinson, the CEO of MMT. “Globally recognized as the benchmark balloon catheter equipment platform, the Interface brand, and its dedicated team further strengthen our end-to-end catheter equipment manufacturing portfolio.”

“The cardiovascular and neurovascular medical device markets demand quality and excellence along every step of development. Lives depend on it,” added Mr. Atkinson. “The Interface brand is recognized globally for its quality, precision, and repeatability. It is our honor to bring this well-respected brand into our growing portfolio.”

Arcline makes control investments in companies that have from $10 million to $100 million of EBITDA and enterprise values of up to $1 billion. Sectors of interest include defense and aerospace; infrastructure services; industrial and medical technology; life sciences and specialty materials. Arcline was founded in September 2018 and has offices in San Francisco and New York.

© 2022 Private Equity Professional | November 4, 2022

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