DuPont announced that it has entered into a definitive agreement to acquire Spectrum Plastics Group (Spectrum) from AEA Investors.
The purchase price will be paid from existing cash balances. The transaction is expected to close by the end of the third quarter of 2023, subject to regulatory approvals and other customary closing conditions.
Spectrum is a recognized leader in advanced manufacturing of specialty medical devices and components, serving 22 of the top 26 medical device OEMs with a strategic focus on key fast-growing therapeutic areas such as structural heart, electrophysiology, surgical robotics and cardiovascular.
Spectrum has more than 2,200 employees and has delivered consistent high single-digit growth rates for many years. With its strong financial performance, advanced manufacturing expertise, and customer-centric orientation, Spectrum is fully aligned with DuPont's strategic objective of delivering innovative specialized materials and solutions into attractive end markets with long-term secular growth trends.
"We have been focused on Spectrum for a long time and our team is extremely excited for this opportunity," said Ed Breen, Executive Chairman and Chief Executive Officer of DuPont. "Spectrum is a compelling strategic complement to our existing healthcare portfolio, which already includes businesses with best-in-class innovation, deep customer relationships and with strong growth and profitability. With this combination, we'll be able to offer customers additional innovation and manufacturing capabilities with a broader and more integrated solution set."
"Spectrum is a best-in-class company for the development and advanced manufacturing of specialty medical devices and components," said Rahul Goyal, a Partner at AEA Investors. "Through investments in the commercial and engineering organizations and expansion of its manufacturing operations, Spectrum has enhanced its capabilities and offerings in medical end markets and achieved significant growth and increased profitability. We are proud to have supported Spectrum's transformation for the past five years and believe DuPont is an excellent partner for Spectrum. The combination is ideally positioned to continue providing excellent customer service and highly-engineered solutions for critical healthcare applications."
