Originally Published EMDM
September 2004
Industry News
UTI Acquisition Creates Global Subcontracting GiantErik Swain
The acquisition of Minneapolis-based MedSource Technologies Inc. by UTI Corp. (Collegeville, PA, USA), announced in April, creates one of the largest contract manufacturing, design, and engineering firms serving the global med-tech market.
Both UTI and MedSource offer contract manufacturing of critical device components, subassemblies, and finished goods. The two firms also provide engineering, design, prototyping, and other product development services. The deal was made in reaction to two needs of device OEMs, says Ron Sparks, president and CEO of UTI.
“One is that [OEMs] want to reduce their number of suppliers and, at the same time, keep the amount of capacity constant or increasing. The other is that they want a level of sophistication from their contractors that is similar to what they are used to [in-house],” explains Sparks.
UTI operates three facilities in Europe: Uniform Tubes-Europe in Manchester, UK; Star Guide-Europe in Galway, Ireland; and UTI-SFM Feinmechanik GmbH in Aura, Germany. The acquisition “gives us more ability to offer services to customers based in Europe,” adds Sparks.
The combined firm, which will have a new name, will be reorganized into divisions serving three key areas: cardiology and cardiac surgery, endoscopy, and orthopaedics. Sparks says each firm brings capabilities that the other did not have. MedSource brings a strong presence in orthopaedics, polymer development, and metal-injection moulding. UTI excels in metallurgy, high-speed machining, and assembly capabilities.
For more information, contact UTI Corp., PO Box 26992, Collegeville, PA 19426, USA; phone: +1 610 4890300; fax: +1 610 4891150; e-mail:
info@uticorporation.com; Internet: www.uticorporation.com.
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