Humco to get upgrade following Dutch merger

Rotterdam company drawn to Texarkana because of the area’s transportation network

As part of its merger with Dutch pharmaceutical company Fagron, the Humco plant in Texarkana will get a thorough upgrade.

“Fagron is committed to first-class pharmaceutical facilities. … This will be a full upgrade of the facilities in Texarkana, which will be a key manufacturing facility in the combined operation,” said Greg Pulido, Humco executive chairman.

The chairman declined to comment on how the modernization might affect the plant’s workforce. Company spokeswoman Brittney L. Yeldell said the plant employs 108 workers, and no changes have been announced.

The merger has started and is an ongoing process, but the majority of it is expected to be completed in nine to 18 months. Texarkana native Ken Reese will continue to serve as Humco’s vice president of operations and will lead the local plant’s integration into the Fagron network.

A big part of Fagron’s interest in Humco was Texarkana’s transportation infrastructure.

“One key element in this is Texarkana’s proximity to a tremendous transportation network. These will be an asset in distribution,” he said.

Humco started in 1872 as a traveling medicine show called Hutchison Medicine Co. Founded by J.C. Hutchinson in Linden, Texas, the operation eventually settled in Texarkana, Texas, in 1908. The merger is the next step in the company’s path from one-man show to worldwide distribution.

“Via (Interstate 30), we will distribute what we make throughout the country, and out of the port in Houston, we will reach out to the entire world. That kind of impact is amazing,” Pulido said.

Humco has business and research and development offices in Austin, with manufacturing and distribution conducted in Texarkana.

Pulido was born and raised in Arizona, moved to Texarkana in 1989 and bought Humco in November 1993. He describes the business as low-profile.

“We are low-profile because our business interests lie mostly outside of Texarkana,” he said. “Texarkana is a great place to operate, but we make our product here and ship it out. However, we are active in the community in a wide range of organizations and activites.”

The Texas drugmaker was looking to move forward when Rotterdam, Netherlands-based Fagron proposed the merger.

“Fagron approached us in January. Humco was not for sale, but we were looking for the next long-term step,” Pulido said. “Fagron’s stateside business footprint was large, but didn’t overlap with ours. Our assets were complimentary and offered what we needed to go to the next level.”

Fagron officials weren’t just looking for expanded business opportunities, but were hoping for a meeting of the minds, which they found in Humco.

“Our company leaders, both Fagron and Humco, had a chance to meet and get to know each other and found out we had a similar outlook in company culture and how we treat our employees,” said Rafael Padilla, Fagron CEO.

“Bottom line: Our companies have very similar values and what we hold in high regard,” he said. “This made a coming together easy. We are a world-wide company, operating in 100 different markets. Humco is worldwide and operates in many markets, too. Humco is a research leader, making them a very valuable asset.”