UFP Technologies Acquires DAS Medical

Rhea-AI Summary

UFP Technologies, Inc. (Nasdaq: UFPT) announced the acquisition of DAS Medical, Inc., a contract manufacturer specializing in single-use surgical equipment. This strategic acquisition enhances UFP's MedTech portfolio, providing complementary manufacturing capabilities in thin film converting and expanding low-cost production options in the Dominican Republic and Mexico. UFP aims to leverage DAS’s expertise to offer a full suite of services for flexible medical devices, fostering growth and value creation for their shared customer base.

Positive

• Acquisition of DAS Medical enhances UFP's MedTech portfolio.
• DAS Medical's expertise complements UFP's RF welding technologies.
• New low-cost manufacturing options in the Dominican Republic and Mexico.
• Strategic alignment with DAS's management to create more value for customers.

Negative

• None.

NEWBURYPORT, Mass., Dec. 23, 2021 (GLOBE NEWSWIRE) -- UFP Technologies, Inc. (Nasdaq: UFPT), an innovative designer and custom manufacturer of components, subassemblies, products, and packaging primarily for the medical market, today announced the acquisition of DAS Medical, Inc. Founded in 2010 and headquartered in Atlanta, Georgia, with manufacturing in the Dominican Republic, DAS is a medical device contract manufacturer specializing in the design, development and production of single-use surgical equipment covers, robotic draping systems and fluid control pouches.

“Adding DAS Medical to the UFP MedTech portfolio is another important step in our growth strategy,” said R. Jeffrey Bailly, chairman, CEO, and president of UFP Technologies. “DAS’s expertise in thin film converting and near-shore manufacturing is a perfect complement to our best-in-class RF welding technologies. Along with our new facility in Tijuana, Mexico, this adds another low-cost manufacturing option for our customers.”

“We are also excited to be partnering with the DAS management team,” Bailly said. “We are strategically and culturally aligned, with a laser focus on creating value for customers in similar growth segments. We currently share key strategic customers, and can now create more value by offering a full suite of services for single-use, flexible material-based medical devices.”

According to Daniel Lee, DAS’s president and CEO, “Joining forces with UFP’s MedTech team is a fantastic strategic fit. We both have expertise in creating differentiated solutions leveraging expertise in medical film converting for critical single-use applications. With access to UFP’s sales engine, development engineers and growing technology portfolio, we will be able to accelerate the growth of our proven low-cost manufacturing platform in the Dominican Republic.”

About UFP Technologies, Inc.

UFP Technologies is an innovative designer and custom manufacturer of components, subassemblies, products, and packaging primarily for the medical market. Utilizing highly specialized foams, films, and plastics, we convert raw materials through laminating, molding, radio frequency welding, and fabricating techniques. We are diversified by also providing highly engineered solutions to customers in the aerospace & defense, automotive, consumer, electronics, and industrial markets.

Forward Looking Statements

This press release contains statements relating to expected financial performance and/or future business prospects, events and plans that are forward-looking statements. Such statements include, but are not limited to: the anticipated effects on us of acquiring DAS Medical, Inc.; anticipated trends in the different markets in which we compete and expectations regarding customer demand; expectations regarding our business opportunities; and statements about our growth potential and strategies for growth. Investors are cautioned that such forward-looking statements involve risks and uncertainties that could adversely affect our business and prospects, and otherwise cause actual results to differ materially from those anticipated by such forward-looking statements, as well as other risks and uncertainties that are detailed in the documents we file with the SEC. Accordingly, actual results may differ materially. Readers are referred to the documents we file with the SEC, specifically the last report on Form 10-K. The forward-looking statements contained herein speak only of our expectations as of the date of this press release. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in our expectations or any change in events, conditions, or circumstances on which any such statement is based.

Contact: Ron Lataille
978-234-0926, rlataille@ufpt.com

FAQ

What is the significance of UFP Technologies' acquisition of DAS Medical?

The acquisition enhances UFP's MedTech portfolio by providing complementary manufacturing capabilities and expanding low-cost production options, fostering growth.

When was the acquisition of DAS Medical by UFP Technologies announced?

The acquisition was announced on December 23, 2021.

How will the acquisition affect UFP Technologies' operations?

The acquisition will allow UFP to leverage DAS Medical's expertise in thin film converting and expand its service offerings for single-use medical devices.

What are the expected benefits of the acquisition for UFP Technologies?

Expected benefits include enhanced growth potential, synergies in manufacturing, and increased value for their shared customer base.