Regatta Medical Holdings LLC, a portfolio company of GTCR, has made an undisclosed investment in Resonetics. As a result of the transaction, Sverica Capital Management will retain a minority stake in Resonetics. Kirkland & Ellis LLP served as legal counsel and PricewaterhouseCoopers served as accounting advisor to GTCR. Based in Nashua, New Hampshire, Resonetics is a medical device contract manufacturing organization specializing in laser micro-manufacturing for interventional medical devices.
CHICAGO, Feb. 1, 2018 /PRNewswire/ — GTCR, a leading private equity firm, announced today that it has made a strategic investment in Resonetics, Inc. (“Resonetics” or the “Company”) through GTCR’s portfolio company Regatta Medical Holdings, LLC (“Regatta Medical”), a partnership with CEO Chip Hance. Going forward, the existing Resonetics management team, led by CEO Tom Burns, will continue in their existing roles as a subsidiary of Regatta Medical.
Founded in 1987 and headquartered in Nashua, New Hampshire, Resonetics is a leading medical device contract manufacturing organization (“CMO”), specializing in laser micro-manufacturing for interventional medical devices. The Company’s capabilities include precision laser prototyping and manufacturing, including creating features as small as one micron, a fraction of a human hair, in a variety of materials. Over the past 30 years, Resonetics has developed a diverse base of blue chip medical device customers, a highly experienced team of technical engineers and scientists, and a well-positioned facility network in major medical device manufacturing hubs. This platform enables the Company to work with its customers across a wide range of interventional products and medical device segments, including neurovascular, diabetes, structural heart and other interventional specialties.
The Resonetics investment is another example of how GTCR executes The Leaders Strategy®. In April 2017, GTCR partnered with Mr. Hance to create Regatta Medical and build a market-leading platform in the medical device industry. Prior to partnering with GTCR, Mr. Hance most recently served as Chief Executive Officer of Creganna Medical, a leading supplier of contract manufacturing services for medical devices, where he doubled the business via acquisition and organic growth before completing a successful sale of the company in 2016 to TE Connectivity. Prior to leading Creganna Medical, Mr. Hance spent more than 20 years in senior leadership roles at Abbott Laboratories, most recently as President of Abbott’s Vascular division, building it into a global leader in interventional cardiology with more than $3 billion in revenues.
“Tom and the Resonetics team have built an exciting platform company,” said Chip Hance. “We look forward to investing in the business, further building out its scale and capabilities and becoming an increasingly valuable partner to our growing base of customers.”
“Resonetics has an excellent track record of fabricating quality medical devices using innovative technologies and we look forward to investing additional capital to support both organic initiatives and strategic follow-on acquisitions,” said GTCR Managing Director, Sean Cunningham.
Dean Mihas, Managing Director at GTCR, added: “This investment demonstrates GTCR’s continued commitment to The Leaders Strategy®, as we find ways to partner with experienced management teams. We look forward to supporting Chip, Tom and the Resonetics team as the Company continues its aggressive pursuit of follow-on acquisitions in the next chapter of its growth.”
GTCR and Regatta Medical’s investment in Resonetics will be funded from GTCR Fund XII, a private equity fund raised in 2017 with $5.25 billion of limited partner capital commitments. Existing Resonetics management and Sverica Capital Management, the selling equity sponsor, will retain minority stakes in the Company. Kirkland & Ellis LLP served as legal counsel and PricewaterhouseCoopers served as accounting advisor to GTCR.
Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Growth Business Services, Technology, Media & Telecommunications, Healthcare and Financial Services & Technology industries. The Chicago-based firm pioneered The Leaders Strategy™ – finding and partnering with management leaders in core domains to identify, acquire and build market-leading companies through transformational acquisitions and organic growth. Since its inception, GTCR has invested more than $15 billion in over 200 companies. For more information, please visit www.gtcr.com.
About Regatta Medical
Regatta Medical was formed in April 2017 as a partnership between Robert “Chip” Hance, Mark Weishaar, and GTCR. Regatta Medical’s mission is to build a leading company in the medical device industry by acquiring outstanding medical device products and services businesses. For more information about Regatta Medical, please visit www.regattamedical.com.
Founded in 1987, Resonetics is a pioneer in laser micro manufacturing and provides contract manufacturing services to the life sciences industry. Resonetics designs, builds and integrates its own laser workstations to solve complex manufacturing challenges and has invested heavily in leading edge technology. Combining state-of-the-art laser systems with a large and innovative technical team allows Resonetics to partner with customers and provide winning solutions that meet all technical, quality and economic requirements. Learn more at www.resonetics.com.