Becker's Spine Review

41 Spine Device & Innovation Fast-Growing Spine Device Companies 15 Fast-Growing Spine Device Companies By Laura Dyrda H ere are 15 of the fastest-growing spine- focused device companies in the market today. Many of these companies have introduced several new products over the past few years and are poised to expand their platforms go- ing forward. A few of the companies recently filed initial public offerings to spread their reach. Oth- ers have announced plans to expand internationally and grow into emerging markets. These companies are also growing through acqui- sitions, research and product development. They are setting aside resources for marketing and sales growth with a new strategic outlook for their busi- ness going forward. The companies are listed in al- phabetical order. AccelSPINE. In 2012, AccelSPINE achieved six FDA clearances and has been building on their success ever since. In 2014 the company received FDA clear- ance for the Picasso II next generation minimally invasive system and named Bala Giri, MD, chief medical officer. The company also recently selected TrizCom as its public relations agency to continue their commercial growth. Beyond serving the spine community, the company is also involved in commu- nity growth efforts. AccelSPINE participated in the Disney Dreamers Academy, a national community outreach program to address goal setting, planning and networking. AccelSPINE representatives shared their career experiences and a hands-on workshop for teens interested in neurosurgery. Several mem- bers of the team also went on a medical mission trip to Ethiopia in January to perform procedures and educate local physicians about providing spinal care. Alphatec Spine. Alphatec Holdings, parent compa- ny for Alphatec Spine, announced executive leader- ship changes in April to complement the company's further growth in the future. Leslie H. Cross stepped down from his position as CEO, but continues to serve as chairman of the board of directors; James M. Corbett took his place and now serves as presi- dent and CEO. During his tenure, Mr. Cross built a strong leadership team, improved company rev- enue, increased the depth and breadth of Alphatec's global product portfolio and implemented lean excellence and enterprise initiatives. Mr. Crobett has experience driving growth in several products and geographies, and is delighted to join Alphatec. The company reported first quarter sales from less- invasive products increasing 10 percent. During the quarter, the company received FDA clearance for the Arsenal device and launched the CoreX mini- mally invasive biologics product. Alphatec Spine also received approval for and launched the Disco- Cerv cervical disc prosthesis in China. Amedica. Amedica is growing its presence in the orthopedic and spine marketplaces after beginning an initial public offering in February. The company announced an IPO of 3.5 million shares of common stock at a price of $5.75 per share with JMP Secu- rities acting as the sole book-running manager for the offering. During the first quarter, the commercial biomaterial company known for its silicon nitride products reported a 41 percent increase in the silicon nitride ceramic products to $2.5 million. Revenue increased 7 percent over the fourth quarter of 2013, primarily due to second generation Valeo spinal in- terbody device adoption. The company will soon be- come more focused in its growth; in June, Amedica stopped distributing its amniotic derived allograft products to focus on its proprietary biomaterials, which yield much higher gross margins. Aurora Spine. Aurora Spine has received clearances for its products on a global scale. The FDA approved its new ZIP MIS system and additional sizes for the ZIP ULTRA Minimally Invasive Interspinous Fusion System. In September 2013, the company announced an initial public offering of 5.15 million shares at $0.70 per share for approximately $3.61 million in proceeds. At the time, the IPO would accelerate its position as a global spine innovator in minimally in- vasive fusion, dynamic stabilization and regenerative technologies. In 2013, the company reported revenue of $206,994 at the nine-month's end. The company has also had recent leadership changes, including the Executive Vice President of U.S. Sales Mike Keegan and Regional Vice President of Sales for the Eastern United States Doug Johnson. Baxano. TranS1 was conceived in 2000 and the company's AxiaLIF received FDA clearance in the fourth quarter of 2004, with first cases performed in the United States in 2005. That same year Jeff Bleich, MD, founded Baxano to develop less inva- sive techniques for lumbar decompression. TranS1 completed an initial public offering in 2007 and an- nounced the 2,000 th case performed with AxiaLIF the same year. Baxano separately achieved FDA clearance for the iO-Flex system in 2007 and both companies continued to grow over the next few years. In 2012, the AMA announced a Category I code for presacaral fusion, including AxiaLIF, and CMS assigned significant RVUs to the procedure later that year. Then, in 2013, the two companies merged to form the publicly-traded spine company Baxano Surgical. In the first quarter of 2014, the company reported $4.4 million revenue and FDA clearance for the Avance MIS Pedicle Screw System. The company also achieved $10 million financing and despite revenue coming in slightly below ex- pectations, President and CEO Ken Reali expects a new marketing strategy to drive sequential revenue growth and reduce operating expenses in the future. Eminent Spine. Steve Courtney, MD, and David Freehill co-founded Eminent Spine in 2008 to pro- vide new spine technology to the field. In May, the company was issued patents for the DiamondBack Pedicle Screw Fixation System and the Fang Bone Plate and Plating System. The company also re- cently released white papers detailing the effective- ness of their King Cobra anterior cervical plate and Copperhead PEEK Cervical Cage. The company continues to position itself for growth on the na-

• Cover