Millstone Medical Outsourcing, an Arlington Capital Partners Portfolio Company, Acquires Ethide Laboratories

WASHINGTON–(BUSINESS WIRE)–Millstone Medical Outsourcing (“Millstone”), the industry’s leading partner of choice for medical manufacturers’ post-manufacturing and aftermarket services, announces its completed acquisition of Ethide Laboratories (“Ethide Labs” or “Ethide”), on November 14, 2022.

Headquartered in West Warwick, Rhode Island, Ethide Labs has more than 60 years of experience in regulatory testing services for the medical device and pharmaceutical industries. Ethide Labs is an ISO 13485:2016 certified testing laboratory with capabilities in ethylene oxide (EO) residual, microbiology, bioburden, sterility, and package integrity testing and environmental monitoring services. With a technical staff of degreed scientists who are active members of the American Society for Microbiology, an FDA-compliant facility, and adherence to the most rigorous national and international standards, Ethide Labs is aligned with Millstone’s commitment to operating under the highest quality standards. Bringing Ethide Labs into the Millstone family of companies enhances its full range of specialty precision testing services. The acquisition will also further strengthen Millstone’s Tier 1 end-to-end expert sourcing and support services.

Matt Altman, a Managing Partner at Arlington Capital Partners, said, “The strategic acquisition of Ethide Laboratories expands Millstone’s testing capabilities and broadens its customer footprint. We are excited by the wide range of growth opportunities that will be created from bringing these companies together.”

“We are excited to bring Ethide Labs into the Millstone family of companies,” Millstone Medical Outsourcing CEO Karl Neuberger said. “Millstone is dedicated to helping our customers focus on the products that change patients’ lives through best-in-class post-manufacturing services that ensure quality, compliance, and business success. With the specialty testing expertise and proven success of Ethide Labs, we continue to expand the end-to-end support we offer in-house—with the quality and expertise our customers have come to rely on.”

The Ethide Labs leadership team will join Millstone’s experts. Regarding the acquisition, Ethide Labs CEO Sarath Koruprolu said, “For 60 years, Ethide Labs has supported the medical device market and related industries with expert guidance and accelerated turnaround times so our customers can focus on bringing products to market faster. We are thrilled to join forces with Millstone and to bring our expertise together with theirs to deliver life-changing and lifesaving products.”

Gordon Auduong, a Principal at Arlington Capital Partners, added, “We were highly impressed with Ethide’s broad set of testing capabilities as well as its firm commitment to the highest quality standards. Alongside Millstone’s acquisition of MycoScience earlier this month, the acquisition of Ethide demonstrates Millstone’s success in adding testing services to its pre-existing broad range of services.”

About Millstone Medical Outsourcing

Millstone Medical Outsourcing is a leading provider of customized outsourcing solutions to the medical device industry with a client roster of the most prominent global OEMs as well as emerging growth companies. Millstone delivers superior quality service, unparalleled expertise, and guaranteed ROI. The company offers advanced inspection, sterile and non-sterile packaging, loaner kit processing, and distribution services to device and product manufacturers worldwide. Millstone is privately held and operates state-of-the-art facilities in Fall River, MA, and Olive Branch, MS. The company is FDA registered and ISO certified by BSI, Inc. to ISO 13485: 2016.

For more information: www.millstonemedical.com

About Arlington Capital Partners

Arlington Capital Partners is a Washington, DC-based private equity firm that has managed approximately $7 billion in capital commitments. Arlington is focused on middle market investment opportunities in growth industries including healthcare, government services and technology, aerospace & defense, and business services and software. The firm’s professionals and network have a unique combination of operating and private equity experience that enable Arlington to be a value-added investor. Arlington invests in companies in partnership with high quality management teams that are motivated to establish and/or advance their company’s position as leading competitors in their field.

For more information: www.arlingtoncap.com

Contacts

Matt Altman & Gordon Auduong

Arlington Capital Partners

5425 Wisconsin Avenue, Suite 200

Chevy Chase, MD 20815

(202) 337-7500