EQT X fund has entered into an agreement to acquire Zeus from the Tourville family. Founded in 1966, Zeus is a specialist in the design, development, and extrusion of fluoropolymer tubing for medical devices and select industrial applications.
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Deal struck
EQT also announced that John Groetelaars, former CEO of Hillrom and EQT industrial advisor, will serve as Zeus’ executive chairman upon closing of the transaction.
For more than 50 years, Zeus has delivered components to improve the efficacy and performance of catheters, which are used in minimally invasive medical procedures among other applications. The company is headquartered in Orangeburg, South Carolina, with eight facilities across the United States and one in Letterkenny, Ireland. Zeus employs approximately 2,400 people globally and serves over 300 customers in more than 100 countries, including medical device manufacturers, contract device manufacturing organisations, academic institutions, and other industrial customers.
Zeus’ components enable the delivery of minimally invasive interventional procedures, aiming to drive better health outcomes than traditional open surgeries, including faster patient recovery and reduced pain, at lower cost.
EQT will support Zeus with investments in additional capacity, R&D, and operational excellence, to support the rapidly growing medical fields that leverage minimally invasive technologies. These investments will enable the company to continue partnering with its clients’ research and development groups to remain at the forefront of next generation technologies.
Ethan Waxman, partner within EQT Private Equity’s Advisory Team, said: “EQT has tracked the medical device component industry closely for several years, and we believe Zeus is uniquely positioned within the end markets it serves due to its unmatched material science and process expertise. We are excited to partner with the Company and invest in its next phase of growth, its employees, and the communities it serves, while maintaining Frank Tourville Sr.’s values and commitment to excellence, which are shared by EQT.”
Steve Peterson, president and CEO of Zeus, added: “We are excited to join the EQT family. Zeus has gained significant momentum in recent years due to a strategic global expansion plan. This acquisition accelerates that momentum and growth by supporting future expansion, new product innovation, process improvements, technological transformation, and enhanced capabilities.”
John Groetelaars commented: “I am thrilled to embark on this journey with Zeus and EQT to build upon the Company’s impressive legacy and best-in-class, differentiated product portfolio. We are committed to strengthening the partnerships with the customers that Zeus serves and expanding capacity through investments, operational upgrades, and growth from new product innovations. In the near-term, we intend to expand facilities and add personnel to increase production on behalf of our customers, and we’re excited to maintain our status as a key employer in the communities where we operate."
Eric Liu, partner, head of North American private equity and co-head of global healthcare at EQT, said: “As one of the world’s leading healthcare investors, EQT invests in innovative companies that are addressing some of the most significant challenges in healthcare today, ranging from life science start-ups to scaled global businesses. This acquisition represents a highly thematic investment for EQT, given our long-time focus on the medical technology industry and our experience partnering with family-founded businesses. With EQT’s deep expertise and broad network of advisors in the healthcare sector, we look forward to continuing our track record of creating differentiated value for all stakeholders."
The transaction is expected to close in Q1 2024, subject to regulatory approvals and customary closing conditions.
