Manning Partner provides his analysis of shifting paradigms for insurance reimbursements, and how suppliers capable of assisting OEMs with the new product requirements stand to expand their businesses.
Read the article here.
AMETEK, Inc. (NYSE: AME) has acquired Laserage Technology Corporation and its wholly-owned Silicon Valley based subsidiary, Venta Medical, Inc.
Manning Advisors advised Laserage on this transaction.
AMETEK’s announcement may be found here.
For more information please contact Richard W. Sager at rsager@manningadvisors.com or at (585) 315-8413 directly.
Greatbatch (NYSE:GB) announced it will acquire Lake Region Medical for $1,73 billion, creating the world’s largest medical device contract manufacturer with sales of over $1.5 billion. The transaction, scheduled to close in the fourth quarter, breaks down between cash, stock, and debt assumption. Specifically:
The deal was estimated by industry watchers to have been done at 11.6X adjusted EBITDA.
The acquisition of Lake Region (which includes the former Accellent) by Greatbatch will prove a turning point in the evolution of the medical supply chain. The combination of two industry leaders in CV, neuro, MIS, and arguably ortho to form the first billion dollar plus contract manufacturer of its kind reflects the twin trends of OEM and supplier consolidation. While smaller contract manufacturers can thrive as specialists or by offering superior performance, it may be time for larger CMs to review strategy in light of this deal.
For more information on medical supply chain trends or to exchange views please contact Richard W. Sager at (585) 315-8413 or at rsager@manningadvisors.com.
Read more information on the transaction here.
United Technologies announced today that it plans to sell or spin off its Sikorsky helicopter unit by the end of the third quarter. UT plans to concentrate on its other aerospace initiatives. Today’s announcement comes on the heels of Sikorsky’s June 2 press release announcing 1,400 layoffs and closure of its Bridgeport, Connecticut facility.
For more information please contact Richard W. Sager at Manning Advisors at rsager@manningadvisors.com or at (585) 315-8413 directly.
As always, I look forward to your questions and comments.
Bloomberg published a fascinating article today detailing the consequences GM faces for price squeezing their suppliers. As more industries adopt parts of the “automaker’s playbook” for managing their supply chains this topic is timely.