Nashua’s Rapid Manufacturing to be acquired for $120 millionBy MICHAEL COUSINEAU
New Hampshire Union Leader
November 22. 2017 1:06AM
NASHUA — Rapid Manufacturing Group, which counts Segway and General Electric as customers, is being sold for $120 million to a Minnesota company and is predicting more growth in Nashua.
“We expect we’ll need more people over time and more facilities in Nashua,” Len Morrissey, Rapid’s president and chief financial officer, said in an interview Tuesday.
Proto Labs, based in Maple Plain, Minn., announced it was acquiring Rapid, a custom parts supplier that employs about 320 people, nearly all in Nashua.
The existing workforce, except for Rapid founder Jay Jacobs, will be retained, including senior executives.
Rapid, which is privately held, has three manufacturing facilities within a mile of each other near Nashua’s airport.
Under the terms of the agreement, Proto Labs will acquire Rapid for $110 million in cash and $10 million in Proto Labs stock. Rapid’s 2017 annual revenue is forecasted to be about $45 million. The sale is expected to close by year’s end.
Rob Bodor, vice president and general manager for the Americas at Proto Labs, called the joining of the two companies a “great cultural fit.”
Bodor said the companies think the same way about the marketplace and about innovation in contract manufacturing.
He said the two companies offer “complementary service offerings” and little overlap of existing customers.
Morrissey said the company makes components for bigger items.
“If you think of a printer or computer, we could make the shell of it,” he said. “A lot of times, we’re not sure what we’re making.”
Founded in 2001, Rapid now operates in 140,000 square feet of manufacturing space.
Proto Labs, which trades on the New York Stock Exchange as PRLB, calls itself a global leader in technology-enabled manufacturing,
The New Hampshire High Tech Council in June named Jacobs as the entrepreneur of the year.
“Jay reimagined the traditional prototyping parts process and grew his company within an industry where innovation can be challenging,” Matt Cookson, the council’s executive director, said back in June. “Rapid’s passion for fast turn around for custom prototypes and products is their recipe for success.”