A hidden gem changes hands

When prowling around for Portland business news as part of writing last night's post about companies leaving town, I stumbled across something remarkable. Did you know that tucked between the Banfield Freeway and Sandy Boulevard in northeast Portland, there is a company that just sold for somewhere between $1.2 billion and $1.45 billion?

Me neither. It's called Riverpoint Medical, and its acquisition by a Boston-based public company, Novanta, just closed this week. The seller, a private equity shop named Arlington, had bought control of Riverpoint Medical from its founders for an undisclosed amount in 2019. The founders and managers kept a minority stake, which apparently was just cashed out, big time.

As best I can understand it, Riverpoint makes medical devices and supplies, including a lot having to do with sutures. Under Arlington's control, they opened a manufacturing plant in Costa Rica three years ago, but they still do a bunch of manufacturing as well as engineering in their one block at Northeast 25th and Pacific. Apparently somewhere around 150 to 200 people are employed there. At least for now. One of the company's founders, a guy named Patrick Ferguson, apparently still owns the Portland building.

A rumor, completely unsubstantiated by me, is that Riverpoint will soon announce a move to a new facility. Which wouldn't be surprising, given the change in control and the possibly cramped nature of their headquarters on that little old block in Sullivan's Addition. Arlington spent a fair amount of dough to remodel some of it in 2021, but there's only so much you can do on one city block.

For the company to move its clean rooms and high-tech machinery will require approval by the Food and Drug Administration, but Riverpoint management seems pretty darn good at getting through that rat's nest of red tape. In fact, it's one of their competitive strengths. And so they could be in the wind pretty quickly. 

Will the new shop be in Portland, maybe out by the airport? Ha! Ha! No, word on the street is that it will be in Clark County, Washington. Which would also make a lot of sense.

Anyway, a billion-and-a-half-dollar manufacturing company right under our noses, at least for the time being. Who knew?