Argon Medical Devices, a Plano-based company with a manufacturing facility in Athens, has been bought by China-based Shandong Weigao Group Medical Polymer Co.
The deal is worth a reported $850 million. The company has about 400 workers in Athens.
“We’re very hopeful that this will mean good things for the Athens workers,” said Lisa Denton, executive director of the Athens Economic Development Corporation. “Argon has been looking to expand its overseas reach, and this should allow an expansion of its overall portfolio. We’re optimistic.”
According to the Bloomberg news service, “Shandong Weigao made the acquisition through a joint venture with a private equity-backed firm that will control 10 percent, according to a statement to the Hong Kong stock exchange. The venture will fund $420 million of the purchase with debt, the company said without identifying the private-equity firm.”
According to the company’s website, Shandong Weigao is “principally engaged in the research and development, production and sale of single-use medical devices. The Group has a wide range of products.”
The website adds, “At present, the Group’s sales are mainly conducted in the (People’s Republic of China) market. The Group is actively exploring opportunities in international markets, and its products have been exported to 30 countries and regions, including the United States, Germany, Romania, Australia and the United Kingdom.
The Argon acquisition could help it break into the U.S. market.
Argon was founded in 1972 and has grown to a multinational company with more than 800 employees, according to its website.