2017 was filled with mergers, acquisitions and FDA approvals, and the momentum has not seemed to stop. Here are 19 spine and orthopedic devices companies to watch in 2018 based on their success in 2017.
Alphatec (Carlsbad, Calif.). After making leadership changes this year, Alphatec expects to see around $101.4 million in full year 2017 revenue, with U.S. commercial revenue hitting $86.8 million to $87 million. In the fourth quarter of 2017 alone, Alphatec predicts revenue to hit $25.9 million to $26.3. Alphatec
ended 2017 with a cash balance of $22.5 million. The increase in revenue follows the appointment of a former NuVasive executive as its new executive chairman. Along with making changes internally, Alphatec launched its Battalion Lateral System with the Alphatec Squadron Lateral Rector for minimally invasive
lateral access procedures.
Arthrex (Naples, Fla.). To keep up with demand for its growing 11,000 products for arthroscopic and minimally invasive orthopedic procedures, Arthtrex is starting 2018 with construction on a $30 million manufacturing plant in Anderson County, S.C. The company’s physical expansion doesn’t stop with a
manufacturing plant; in 2017 Arthrex set out to expand its headquarters, building a $73 million administrative and event office for visiting surgeons. The headquarter expansion should add more that 500 employees to Arthrex’s team. Its rapid expansion solidified Arthrex to continue its partnership with NBC Sports.
Camber Spine (Wayne, Pa.). Camber Spine started 2017 on a strong foot. The company earned FDA clearance for its Siconus SI Joint Fixation System, Camber Spine’s second product for sacroiliac disease treatment. Similar with how Camber Spine started 2017, the company ended the year receiving FDA
clearance for the SPIRA-C Open Matrix Cervical Interbody device. The company launched its other SPIRA products, SPIRA Open Matrix ALIF in 2017, and surgeons implanted more than 150 ENZA Zero-Profile ALIF devices throughout the year.
DePuy Synthes (Warsaw, Ind.). With spine on its mind, DePuy Synthes spent 2017 making strategic developments and relationships for further business growth. The Johnson & Johnson subsidiary acquired Innovative Surgical Solutions, known commonly as Sentio, a nerve localization technology company, to
strengthen its spine segment. Additionally, DePuy Synthes launched its Viper Prime spine system, a minimally invasive pedicle screw system designed for fusion procedures. To establish itself as a minimally invasive techniques developer, DePuy Synthes also unveiled its Purevue Visualization System for endoscopic
surgery. The company’s plans to expand its spine business do not have an end in sight.
Exactech (Gainesville, Fla.). In December 2017, Exactech merged with TPG Capital in a $737 million deal, up 17.3 percent from TPG’s original bid to acquire Exactech. The increase in the acquisition cost is due to Exactech’s rising revenue and recent device launches. Exactech’s third quarter 2017 revenues
jumped 2 percent to $61.4 million compared to the third quarter of 2016. The company’s extremities segment saw the largest surge in revenues, increasing 18 percent to $27.7 million. To compete with other robotics developers, Exactech launched a new computer-assisted software for total knee replacement, the
Exactech GPS TKA Plus in conjunction with the company’s Truliant Knee System.
Globus Medical (Audubon, Pa.). FDA approvals, acquisitions and rising revenue filled Globus Medical’s calendar in 2017. One of the company’s highlights included receiving FDA clearance for its Excelsius GPS, a robotic guidance and navigation system. Globus Medical also acquired KB Medical, a robotic
developer, to further its position as a leader in robotic spine and orthopedic surgery. Noting its growth as 100 percent organic, Globus Medical saw a 12.7 percent increase in 2017 full year sales totaling $635.4 million. In 2018, the company has big plans to blossom with plans to generate $690 million in sales.
Implanet (Bordeaux, France). Jazz isn’t just music to Implanet. The medical device developer spent 2017 expanding its Jazz brand starting with earning the CE Mark for its Jazz Passer. Implanet’s Jazz Passer is designed for posterior fixation in spine surgery. After filing for various Jazz patents in 2017, Implanet
ended the year with 22 patents. All of these new developments lead Implant to see 20 percent revenue growth in the third quarter. The company’s Jazz spinal implant sales grew 30 percent in the quarter and were up 23 percent for the year. Last reported in September 2017, Implanet sold 6,296 Jazz implants.
Intuitive Surgical (Sunnyvale, Calif.). Intuitive Surgical was all about the da Vinci Surgical System in 2017, similar to 2016. At the end of the year, the company estimated it had shipped 684 surgical systems, including 216 da Vinci Systems shipped in the fourth quarter alone. Along with da Vinci Surgical System
expansion, Intuitive Surgical also saw 2017 full year revenues reach $3.1 billion, a 16 percent increase from 2016 full year revenues. To strengthen its position as the leader in robot-assisted surgical systems, Intuitive Surgical filed for FDA approval for the da Vinci Single Port Surgical System.
K2M (Leesburg, Va.). K2M achieved monumental milestones throughout 2017. To start, the medical device maker launched the first 3-D printed expandable corpectomy cage with cervical indications: Capri Cervical 3D Expandable featuring Lamellar 3D Titanium Technology. The 3-D corpectomy cage system also
recorded its first successful case. Another record success, K2M announced the 300th surgical spine case using its Rhine Cervical Disc System. With a year of expanding success, K2M reported 2017 year end revenue between $275.5 million and $258.1 million, a 9 percent year-over-year increase. In the fourth
quarter of 2017 alone, K2M predicted the company’s U.S. complex spine line to grow 8 percent and its minimally invasive surgery line to grow 15 percent.
Mazor Robotics (Caesarea, Israel). Mazor Robotics continued its expansion with a three phase partnership with Medtronic, partnering with Medtronic to co-market and promote the Mazor X robotic system. Medtronic began the partnership purchasing 15 Mazor X systems; and in the fourth quarter of 2017 Mazor sold
23 systems to Medtronic. In total, Mazor has sold 73 robotic systems worldwide, with 27 systems in the past quarter. In the end of the third quarter, the company had a 17-system backlog. U.S. revenue skyrocketed in the third quarter of 2017 up 170 percent to $15.4 million. The company reported 2017 third quarter
revenues of $17.2 million and the device manufacturer is looking to further its growth.
Medtronic (Dublin, Ireland). Hurricane Maria disrupted Medtronic’s manufacturing plant in Puerto Rico in 2017, affecting the company’s bottom line. Second quarter revenues dropped 4 percent, with a $55 million to $65 million impact on revenues. However, Medtronic expects 2018 fiscal year revenue to have a
positive implant of $275 million to $375 million, including a $155 million to $175 million positive impact in the third quarter of the fiscal year. In 2017, Medtronic also assumed global commercial responsibility for Mazor X installations, and Medtronic purchased 23 of Mazor’s robotic guidance systems. The company
recently announced a restructuring plant expected to save $33 billion by 2022.
NuVasive (San Diego). NuVasive spent 2017 acquiring various device companies to further expand its neuro and spine platforms. First the company acquired Vetera Spine, a medical device company focused on interbody implants. Later in the year, NuVasive signed a definitive agreement to acquire SafePassage, a
neurophysiological monitoring services provider. Along with acquisitions, NuVasive launched a new 3D-pinted porous titanium implant Modulus XLIF and the Coalesce Thoracolumbar Interbody Fusion Device. Although impacted by Hurricane Maria, the company saw $1.03 billion in 2017 revenues, an expected 7
percent growth. NuVasive expects the 2018 financial outlook to include the impact of its SafePassage acquisition.
OrthoPediatrics (Warsaw, Ind.). OrthoPediatrics’ third quarter revenues spiked 22 percent in 2017 to $12.4 million. The pediatric-specific device manufacturer also completed its initial public offering, earning $59.8 million in gross proceeds. The company didn’t stop developing new products in the third quarter
following the launches of the PediFrag Pediatric Specific Clavicle Plate and Medial Patella Femoral Ligament Reconstruction System. OrthoPediatrics continued its success launching a new wrist fusion plate system, which is part of the company’s growing PediFrag brand. Orthopediatric’s ended 2017 unveiling its
24th surgical system the Titanium PediPlates implant system, expanding the company’s current physeal tethering profile.
Smith & Nephew (London, England). Earlier in 2017 Smith & Nephew added total joint replacements to the Navio handheld robotic-assisted technology platform. The company went on later in the year to report the first successful robotic-assisted bi-cruciate retaining total knee replacement procedure with the
Navio system. Smith & Nephew offers the world’s first and only commercially available robotics-assisted bi-cruciate retaining knee procedure. Additionally, Smith & Nephew acquired Rotation Medical with hopes of expanding its biologics business. With all of these launches and acquisitions, Smith & Nephew saw a 3
percent jump in revenues during the 2017 third quarter. And while the company’s CEO plans to resign at the end of 2018, Smith & Nephew does not look to slow down.
SpineGuard (St. Mande, France). By the end of 2017, SpineGuard reported surgeons had performed 60,000 spine surgeries using its PediGuard and Dynamic Surgical Guidance devices. The devices are designed to increase accuracy during pedicle screw placement and countries all over the world are placing
orders. China’s XingRong Medical Group is among the organizations that placed orders for the PediGuard system. SpineGuard also launched its Dynamic Surgical Guidance-enabled Z-Direct Pedicle Screw System by Zavation Medical Prodcuts in the U.S. The company’s Dynamic Surgical Guidance-enabled devices
faired well in 2017 with 8,764 sold. After accomplishing various milestones, SpineGuard saw revenue of $9.81 million, reflecting a 10 percent boost compared to 2016.
Stryker (Kalamazoo, Mich.). Throughout 2017 Stryker made big moves to further its position as an orthopedic and spine leader. Stryker acquired Vexim, a vertebral compression fracture solutions developer, and now holds 92 percent of its shares. Most notably, Stryker launched its Mako Total Knee for the Mako
System robotic arm. More than 100,000 joint replacements have been performed using the Mako System and the company reports installing 350 systems in the United States. With all of its acquisitions and installments, Stryker reported a 10 percent boost of net sales to $3.5 billion in the fourth quarter of 2017. For
the full year of 2017, orthopedics grew 6.6 percent and neurotechnology and spine grew 8.2 percent.
Titan Spine (Mequon, Wis.). Titan Spine saw rapid growth in 2017. Most recently the company raised another $7.5 million for its series D funding round, which currently sits at $15 million. The funding will go toward infrastructure and inventory since Titan Spine has been growing at over 40 percent per year for the
past 10 years. Within the year, surgeons implanted more than 5,000 Titan devices, averaging around 300 surgeons using Titan implants each month. In conjunction with its rapid expansion, Titan Spine reported the first successful surgeries using its Endoskeleton interbody fusion devices and surface technology in
Xenco Medical (San Diego). Xenco Medical made two large strides to impact the spine industry in 2017. Back in July, the medical device company launched a spine system for ASCs. The ASC CerviKit is a single-use spine device for anterior cervical discectomy and fusion procedures. Xenco Medical designed the
device with ASCs in mind, streamlining the procedure and addressing space constraints. Additionally, Xenco Medical changed the industry with the introduction of TraumaGPS, an on-demand trauma surgery delivery app. The healthcare version of Uber, surgeons are able to request and track deliveries of Xenco
Medical’s sterile-packaged spinal systems.
Zimmer Biomet (Warsaw, Ind.). With a major leadership change made in 2017, Forbes listed Zimmer Biomet as one of “America’s Best Larger Employers of 2017." The orthopedic device manufacturer named Bryan Hanson president and CEO in the past year; he comes to Zimmer with a wealth of knowledge from
Medtronic to expand the company’s spine portfolio. Zimmer Biomet saw a slight drop in third quarter sales with net earnings totaling $98.8 million due to slow pace recovery in key brands as well as slower-than-anticipated sales recapture in the U.S. However, the company planned to attack hard in the following
quarter with revenue expectations of $2 billion to $2.05 billion. To further boost sales and growth the Zimmer Biomet launched its Vitality+ and Vital Spinal Fixation Systems, which is the first flexible drill as well as a blunted reamer in the U.S.