A Sligo medtech firm has been snapped up by a global plastics giant
Avenue Mould Solutions was set up three decades ago.
A SLIGO-BASED MANUFACTURING firm in the medtech space has been acquired by GW Plastics – a US multinational that employs 1,200 people around the world.
Founded nearly three decades ago and based in Finisklin Business Park, Avenue Mould Solutions specialises in the production of plastic moulds for application in the medical device and pharmaceutical sectors.
A number of founding members of the company are still on staff at the company, including managing director Felim McNeela, senior mould designer Paul Mulligan and production manager Noel Gerrity.
Speaking to Fora, McNeela said that the decision to sell was taken in order to help scale the Sligo business beyond its current size.
Avenue’s business is “very capital-intensive and requires a high-skill level”, according to McNeela, and this acquisition would help “secure the future of the company”.
McNeela declined to comment on the financial details of the acquisition.
The most recently filed accounts for Avenue Mould Solutions Limited showed that the company made a profit of over €440,000 in the year that ended 31 December 2015. This pushed accumulated profits past €1.2 million.
The company has 45 people on staff at present, the majority of whom are manufacturing workers with three employees in administration.
Avenue's production floor
Global plans
GW Plastics moved to make the acquisition “to provide better services to European-based customers”, according to McNeela.
This acquisition of Avenue represented GW Plastics’ first expansion into Europe.
The US firm has a number of customers in Europe that were previously served by its US operations, McNeela told Fora, with the Sligo firm expected to take on some of these duties.
Over the past two years, GW Plastics has completed expansions of its manufacturing facilities in Texas, Arizona and China. It has also expanded its thermoplastics and silicone manufacturing and mould-building facilities in Vermont.
In the statement that announced the acquisition, GW Plastics stated that it has enjoyed record annual revenue growth in recent years.
