Creganna extends international reach with acquisition of Avalon Medical

GALWAY-based medical technology company Creganna has significantly expanded its international status by acquiring US medical device services company Avalon Medical Services for an undisclosed sum.

Both firms supply technologies and services to the international medical device and life sciences sector; specialising in products which remove the need for major surgery.

The significance of the deal for Creganna (the enlarged entity will go under the name Creganna- Tactx Medical) will see its employee numbers rise from 550 to 800 and nearly double its annual revenue to around €76 million.

Creganna was advised on the deal by Barclays Bank Ireland, HSBC Corporate Banking and Bank of Ireland and the company’s chief executive Helen Ryan said the move will push the Galway firm into a world leader supplying medical device services.

“Our customers are increasingly looking to strategic partners to fulfil more of their supply chain requirements. With our global locations, combined technologies and range of services, the company is strategically positioned to meet these evolving needs.

“This move represents a key step in our vision to build a leading global medical technology company,” she added.

“The move firmly positions Creganna-Tactx Medical in the top 10 global providers of technologies and services to minimally invasive medical device companies,” Ms Ryan added.

The enlarged company will now have sales and distribution offices in Galway, California, Minnesota, Massachusetts and Singapore – essentially giving the Irish company a bigger presence in the US and a starting point in the potentially lucrative Asian market.

Ms Ryan said Creganna’s ambitious business development plan will continue, but the next six months at least will be taken up by consolidating this deal. Further joint ventures, aimed at adding new technologies to Creganna’s portfolio remain in the long-term pipeline.