DuPont Buys Medical Product Manufacturer Spectrum Plastics

DuPont has expanded its presence in the medical device and packaging market by acquiring Spectrum Plastics Group, a manufacturer of medical tubing, complex catheter delivery systems, injection molded components and flexible packaging. Purchase price was $1.75 billion, according to an announcement on DuPont’s website. DuPont said 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 has been owned by AEA Investors since January 2018. The company has 13 plants in the U.S., and six in other countries, including two in Mexico. DuPont says adding Spectrum “will complement its existing offerings for biopharma and pharma processing, medical devices and packaging, including DuPont’s Liveo silicone solutions and Tyvek medical packaging.

Spectrum is considered a leader in advanced manufacturing of specialty medical devices and components. Most recently, the company launched the Spectrum Innovation & Technology Hubs (SITHs) at its Sandy, Utah site to help it develop extruded and additive manufacturing solutions for medical-device OEMs that continually seek more complex products — from thin-wall, tight-tolerance extrusions with multiple lumens, to material combinations previously not thought feasible — faster than ever.

Among its more recent innovations, Spectrum offers an array of medical device components from additive manufacturing technology built in-house. Photo: Spectrum Plastics Group

DuPont says Spectrum serves 22 of the top 26 medical device OEMs. “We have been focused on Spectrum for a long time and our team is extremely excited for this opportunity,” said Ed Breen, DuPont’s executive chairman and CEO. “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,” added 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.”