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Nolato buys Switzerland-based medical moulder

Photo by Treff Treff's medical products include syringes.

Swedish injection moulder Nolato is acquiring Treff, a Swiss medical device manufacturer. The transaction, financial details of which were not revealed, is expected to complete in the first week of October. However the deal would be funded through "existing credit agreements", Nolato said.

Treff sales in 2016 are estimated at just over SEK 450m (€47m), with an EBITDA margin of around 11.5%, according to Nolato. Treff manufactures syringe barrels and other injection moulded products for medical and industrial applications.

The acquisition moves Nolato into German-speaking Europe, strengthening the customer base and geographical expansion of both Nolato Medical and Nolato Industrial, company representatives said.

“We think the combination is a good thing for the long term, to be in two market segments with one company,” Nolato president and chief executives Christer Wahlquist told reporters and investors.

About two-thirds of Treff’s business will fall under Nolato’s industrial side and a third under Nolato Medical, although there will be no restructuring and Treff will continue its operations as is, Wahlquist said.

Treff employs about 190 at its plant in Degersheim, in the canton of St. Gallen, Switzerland.

Based in Torekov, Nolato has operations in Europe, Asia and North America, working in plastic, silicone and thermoplastic elastomers for the medical, auto, telecommunications and some industrial markets.

The bolt-on acquisition of Treff is a continuation of Nolato’s expansion on the medical moulding side.

Earlier this month the company announced the acquisition of Poland-based Grizzly Medical, a medical device assembly, post-processing and quality assurance company that has been a Nolato partner since the 1990s.

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