Vicplas International Ltd’s medical devices segment (“MDS” or “Forefront Medical”) has signed a lease with Parques American Industries, S.A. De C.V., for a new 68,000 square foot facility in Juarez, Mexico for its fifth medical devices contract manufacturing plant.
Currently, MDS has two major manufacturing facilities in China (one which extended capacity in 2022), one in Singapore, as well as a manufacturing facility in the United Kingdom.
MDS seeks to widen and deepen both the range of medical device products manufactured and its medical devices manufacturing capabilities as part of its global growth strategy, and Juarez is an excellent manufacturing hub for medical devices with a well established manufacturing ecosystem. With this Mexican presence, MDS will have manufacturing operations in Asia, Europe and the Americas.
This new plant will allow existing and future customers with a new mass manufacturing option, ensuring continuity, flexibility and resilience for their supply chain over the long term. MDS believes this initiative adds value to its customers and signals Vicplas and MDS strong commitment as a growing and trusted global medical device manufacturing partner.
The facility is located at Av. Santiago Troncoso #231, Lote Bravo, Juarez, Chihuahua, Mexico. The lease term is for seven years with the lessee entitled to extend the lease term for two new and consecutive extensions of five years each. The new plant will include certified cleanrooms for molding and assembly operations. The plant should be operational in the second half of the calendar year 2024, and will be managed and operated to provide the manufacturing quality standards currently expected and provided to MDS customers.
Vicplas’ share price as of 18 October 2023 after market close was S$0.123.
