Medical device testing and consulting firm NAMSA is laying off dozens of employees after it acquired WuXi AppTec’s medtech testing division in St. Paul earlier this year.
Christopher Rupp, NAMSA’s vice president for global marketing, product management and commercial operations, confirmed 39 jobs have been eliminated, and cuts will exceed 50 through October.
After acquiring the St. Paul division with services complimentary to Ohio-based NAMSA’s offerings in February, Rupp said “some services and roles that are redundant” needed “alignment.”
“The acquisition brings together two market leaders with complementary industry-leading lab services in biocompatibility, preclinical, analytical chemistry and microbiology testing,” Rupp said.
NAMSA, which provides consulting, research and testing services, employs approximately 1,700 people globally. Founded in 1967, the company name formerly stood for North America Science Associates. In 2020, private equity firm ArchiMed acquired a majority stake in NAMSA.
St. Paul-based AppTec Laboratory Services was founded in 2001 as a testing, research and manufacturing services company. WuXi PharmaTech, a major Chinese pharmaceutical services company, acquired it for $162.7 million in cash and debt in 2008, when it had 400 employees, the Minnesota Star Tribune reported.
Now, NAMSA is transferring services away from the AppTec facility on Executive Drive in St. Paul, according to a WARN letter filed with the state. As part of the transition, approximately 17 workers will transfer to the firm’s Minneapolis location on Evergreen Boulevard.
Federal law requires companies to provide a 60-day notice before a massive layoff, according to the Minnesota Department of Employment and Economic Development (DEED). Employers may owe back pay or be liable for civil penalties of up to $500 per day for violating the law, according to DEED.