Mitsubishi Chemical Corporation (MCC) announced that it will acquire the thermoplastic polyurethane elastomer (TPU) business of AdvanSource Biomaterials Corporation (ASB) with headquarters in Wilmington, MA, USA. ASB achieved net sales of approximately USD 3 million in fiscal year 2018. MCC said it plans to complete the acquisition in January 2020 through Mitsubishi Chemical Performance Polymers, Inc. located in Greer, SC, USA, a subsidiary engaged in the performance polymers business. Financial details of the transaction were not disclosed.
According to MCC, ASB has a premium TPU business in the USA, and its products are used mainly for medical devices such as cardiovascular catheters. Its share in the US market has been expanding over years. TPU’s characteristics, such as biocompatibility, antimicrobial properties, and flexibility, make this product indispensable in the use and applications such as cardiovascular catheters and other devices designed for body insertion. The TPU market for medical devices is expected to achieve high growth in the future on the back of an ageing population, the need to reduce the burden on patients’ bodies, technological innovation in medical devices, and so on.
MCC’s performance polymers business has expanded all over the world through mergers and acquisitions and other measures, and currently provides various types of elastomer solutions. It will further expand its product portfolio to TPU technologies through this acquisition, as well as accelerate market development of existing business by acquiring material certifications and sales channels in the US medical device market.