Acquisition Combines Medical Device Design with Full-Service
Electro-Mechanical Manufacturing Resources
Nortech Systems Incorporated (NASDAQ:NSYS) today announced it has
reached an agreement to acquire Devicix, LLC of Eden Prairie, Minn.
Devicix is an innovative medical product design and engineering firm
with a proven track record of helping clients move from concept to
production. The addition of Devicix will enhance and broaden Nortech’s
capabilities for complete design, manufacturing and service,
particularly for regulated medical devices.
“Adding Devicix’s extensive technical capabilities will support our
current medical device customers and help attract new ones,” said Rich
Wasielewski, president and CEO of Nortech Systems. “Our medical sales
have posted the strongest growth of any of our markets recently, and
acquiring Devicix will enable us to better capitalize on and accelerate
future growth opportunities.” Added Wasielewski, “This partnership is
really a win-win for both companies and our customers.”
The privately owned Devicix was founded in 2004 by Peter DeLange, who is
currently the CEO. As a medical product realization firm, Devicix offers
a unique ability to shepherd a design from concept through FDA and
regulatory approvals. Services offered include concept design,
prototyping, full product design and development, regulatory consulting,
verification and validation, testing and commercialization. The firm has
facilitated a number of successes for its clients, which range from
local startups to global medical device makers, and has also developed
proprietary technology to enhance customer projects, including its
mobile technology (mHealth) platform. “I am very excited about the
opportunity that the combination of Devicix and Nortech brings to the
customer as a total engineering and manufacturing solution,” said
DeLange. DeLange added, “We will be expanding our services to each
company’s customer base as we leverage our complementary strengths.”
Nortech matches these activities by offering
design-for-manufacturability expertise and providing complete
electro-mechanical manufacturing services including wire/cable
assemblies, printed circuit board assemblies and integration assembly
for medical device, aerospace, defense, industrial and commercial
applications. With the addition of Devicix, a medical device client can
now work with Nortech Systems to help design, validate, manufacture, and
service their medical devices within one low-risk ISO 9001/ISO 13485
turnkey partner.
Nortech will maintain Devicix’s current location in Eden Prairie along
with over 30 full-time employees, including experienced professionals in
mechanical, electrical, software, biomedical and industrial engineering.
About Nortech Systems Incorporated
Nortech
Systems Incorporated (www.nortechsys.com),
based in Wayzata, Minn., is a full-service electronics manufacturing
services (EMS) provider of wire and cable assemblies, printed circuit
board assemblies, and higher-level complete box build assemblies for a
wide range of industries. Markets served include industrial equipment,
aerospace/defense and medical. The company has manufacturing
capabilities in the U.S. and Latin America. Nortech Systems Incorporated
is traded on the NASDAQ Stock Market under the symbol NSYS.
About Devicix, LLC
Devicix, a
privately held company based in Eden Prairie, Minn., is an ISO 13485 and
14971-certified, multi-disciplinary engineering firm that delivers
innovative design solutions and comprehensive product development
services exclusively to the medical device industry. With experienced
professionals in Mechanical, Electrical, Software, Biomedical, and
Industrial Engineering, Devicix is able to provide design excellence
that meets the needs of its clients. Devicix creates Class I, II and III
medical devices in numerous and various medical specialties including
point-of-care diagnostic instruments, therapeutic devices, implantable
devices and monitoring equipment.
Forward-Looking Statements
This press
release contains forward-looking statements made pursuant to the safe
harbor provision of the Private Securities Litigation Reform Act of
1995. While this release is based on management’s best judgment and
current expectations, actual results may differ and involve a number of
risks and uncertainties. Important factors that could cause actual
results to differ materially from the forward-looking statements
include, without limitation: volatility in market conditions which may
affect market supply of and demand for the company’s products; increased
competition; changes in the reliability and efficiency of operating
facilities or those of third parties; risks related to availability of
labor; commodity and energy cost instability; general economic,
financial and business conditions that could affect the company’s
financial condition and results of operations; as well as risk factors
listed from time to time in the company’s filings with the SEC.
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