Lincoln International & MicroGroup05.08.17
Lincoln International, a global mid-market investment bank, is pleased to announce that Kirtland Capital Partners and other shareholders have sold MicroGroup Inc. to TE Connectivity Ltd. Terms of the transaction were not disclosed.
MicroGroup is a manufacturer of precision medical components and sub-assemblies with expertise in difficult-to-manufacture, small diameter stainless steel tubing. The company offers a comprehensive, integrated suite of 50+ in-house precision metal production operations supporting the full product life cycle from prototype to production. MicroGroup’s customers include more than half of the world’s largest medical device and analytical instrument companies across analytical and diagnostic instruments, cardiology, gastroenterology and endoscopy, neurology and spinal, and orthopedic and sports medicine segments. MicroGroup was founded in 1971 and is headquartered in Medway, Mass.
Bill Bergen, president and CEO of MicroGroup, commented, “Lincoln’s medical device outsourcing experience and insights were key to positioning MicroGroup’s unique business model and value proposition in a compelling manner.”
Tom Littman, president and managing partner of Kirtland, also noted, “Lincoln faithfully represented Kirtland and other shareholders by driving a strategic outcome through senior level attention, buyer knowledge and relationships, and process excellence.”
Lincoln acted as the exclusive investment banking representative for Kirtland and MicroGroup, working closely with the company’s management team and shareholders throughout the sale process. The transaction closed less than three months from when Lincoln started the marketing process, delivering a strategic outcome on an accelerated timeline. Lincoln provided advisory expertise and managed the preparatory, marketing, negotiation and due diligence phases of the transaction.
In an open letter to customers, MicroGroup posted the following announcement on its website regarding the sale:
"MicroGroup is pleased to announce that we have been acquired by TE Connectivity (TE)! We would like to take this opportunity to talk about what this means for you as one of our customers.
MicroGroup’s core metal tubing expertise and over 45 years of experience in the medical device space is an ideal complement to the investments TE Connectivity has made over the years to enhance its ability to serve you. In the last two years, TE, with the acquisitions of AdvancedCath, Creganna Medical, and now MicroGroup, has strengthened its capabilities to be your partner of choice in the design and manufacture of Medical devices.
The key customer benefits include:
Both businesses are committed to maintaining continuity for our customers. Your current points of contact will not change and our Medway location will continue to produce your product as we have historically. Our focus on superior quality and service continues.
There is a strong cultural fit between both companies with a focus on customers, outstanding quality, depth of technical resources and continuous innovation. We are eager to help you realize the benefits of this combination as we look forward to an exciting future with you."
MicroGroup is a manufacturer of precision medical components and sub-assemblies with expertise in difficult-to-manufacture, small diameter stainless steel tubing. The company offers a comprehensive, integrated suite of 50+ in-house precision metal production operations supporting the full product life cycle from prototype to production. MicroGroup’s customers include more than half of the world’s largest medical device and analytical instrument companies across analytical and diagnostic instruments, cardiology, gastroenterology and endoscopy, neurology and spinal, and orthopedic and sports medicine segments. MicroGroup was founded in 1971 and is headquartered in Medway, Mass.
Bill Bergen, president and CEO of MicroGroup, commented, “Lincoln’s medical device outsourcing experience and insights were key to positioning MicroGroup’s unique business model and value proposition in a compelling manner.”
Tom Littman, president and managing partner of Kirtland, also noted, “Lincoln faithfully represented Kirtland and other shareholders by driving a strategic outcome through senior level attention, buyer knowledge and relationships, and process excellence.”
Lincoln acted as the exclusive investment banking representative for Kirtland and MicroGroup, working closely with the company’s management team and shareholders throughout the sale process. The transaction closed less than three months from when Lincoln started the marketing process, delivering a strategic outcome on an accelerated timeline. Lincoln provided advisory expertise and managed the preparatory, marketing, negotiation and due diligence phases of the transaction.
In an open letter to customers, MicroGroup posted the following announcement on its website regarding the sale:
"MicroGroup is pleased to announce that we have been acquired by TE Connectivity (TE)! We would like to take this opportunity to talk about what this means for you as one of our customers.
MicroGroup’s core metal tubing expertise and over 45 years of experience in the medical device space is an ideal complement to the investments TE Connectivity has made over the years to enhance its ability to serve you. In the last two years, TE, with the acquisitions of AdvancedCath, Creganna Medical, and now MicroGroup, has strengthened its capabilities to be your partner of choice in the design and manufacture of Medical devices.
The key customer benefits include:
- Global Scale – We are particularly excited by the additional global reach TE’s existing medical business and its vast geographic footprint can mean to you. We can leverage TE’s medical operations across the Americas, Europe, and Asia, including locations in low-cost countries.
- Broader Set of Capabilities – The combined businesses broaden MicroGroup precision metal tube and shaft offering for Interventional devices and significantly enhances our capabilities to develop and manufacture components and sub-assemblies for devices used in Electrosurgery, Endoscopy, and Analytical & Diagnostic instrumentation. MicroGroup’s capabilities complement TE’s expertise in catheter technologies, guidewires, custom connectors, cable assemblies, sensors, and heatshrink tubing. Together, we are positioned to deliver the most advanced, vertically integrated solutions.
- Engineering Resources – TE and MicroGroup place tremendous value on a high level of engineering engagement with customers. The combined business will have approximately 375 engineers working to meet your most demanding applications and challenges.
Both businesses are committed to maintaining continuity for our customers. Your current points of contact will not change and our Medway location will continue to produce your product as we have historically. Our focus on superior quality and service continues.
There is a strong cultural fit between both companies with a focus on customers, outstanding quality, depth of technical resources and continuous innovation. We are eager to help you realize the benefits of this combination as we look forward to an exciting future with you."