Vention Medical’s Acquisition of RiverTech Medical

Posted on: July 22nd, 2013

Growth capital Financing Vention Medical, a global medical device solutions company acquired RiverTech Medical, a supplier of specialized polyimide tubing products used in various medical devices. Terms were not disclosed as both companies appear to be privately held businesses.

Vention is backed by a private equity firm, KRGC Capital Partners, based in Denver. This deal appears to be a good fit for Vention on a number of levels.

RiverTech is specialized in a technology used as an advanced component in medical device manufacturing. Due to RiverTech’s knowledge base in materials and product design in these areas, Vention will increase its domain expertise and apply this specialized technology throughout its manufacturing base.

Vention has more resources to be able to allow RiverTech medical to commercially exploit its technology. In addition, much of the medical device business is focused on innovation and speed to market.

The addition of these products to the Vention portfolio will allow them to offer wider line and a more innovative offering. It appears that many of the Vention customer’s are interested in rapid turnaround of component products.

Sometimes, sourcing partnerships with smaller companies are riskier for large companies that need shipping reliability and zero defect quality products. This acquisition may result in opening up the RiverTech product line to a wider channel of larger customers.

With this acquisition based on product synergy and strategic value, Vention appears to making a winning play.