Medtech giant Medtronic is shutting down its Galway operation of Crospon, an Irish company that it bought just more than a year ago.
The company told staff last week that it would close the site at the IDA Business Park at Dangan over the next 12 months. Production will move to other Medtronic facilities, including elsewhere in Galway city.
Medtronic, the world’s largest maker of medical devices, bought the Irish business in December 2017 for a reported €38 million. Crospon specialises in devices for diagnosing gastrointestinal conditions.
The company has confirmed to the Irish Times, that Crospon’s R&D operations will remain in Ireland.
Medtronic is headquartered in Ireland although for practical purposes its base of operations remains in the US. Its acquisition of rival Covidien in a $50 billion (€44bn) deal in 2015 was the last big corporate inversion – a controversial arrangement that saw many US companies acquire businesses in Ireland and elsewhere in order to reduce their exposure to high US corporate tax.
The company has a significant physical presence in Ireland, employing around 4,000 people.