Becker's Spine Review

30 DEVICES & IMPLANTS 19 Spine, Orthopedic Device Companies to Impact the Industry in 2018 By Mackenzie Garrity 2 017 was filled with mergers, acquisitions and FDA approvals, and the momentum has not stopped. Here are 19 spine and orthopedic devices companies to watch in 2018 based on their success in 2017. Alphatec (Carlsbad, Calif.). Aer 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 reve- nue to hit $25.9 million to $26.3 million. Alphatec ended 2017 with a cash balance of $22.5 million. e increase in revenue follows the appointment of a former NuVasive executive Patrick Miles as its new executive chairman. Along with making changes internally, Alphatec launched its Battalion Lateral System with the Alphatec Squadron Lat- eral Rector for minimally invasive lateral access procedures. Arthrex (Naples, Fla.). To keep up with its growing 11,000 product portfolio for arthroscopic and minimally invasive orthopedic proce- dures, Arthtrex is starting 2018 with construction on a $30 million manufacturing plant in Anderson County, S.C. e company's phys- ical expansion doesn't stop with a manufacturing plant; in 2018, Ar- threx set out to expand its headquarters, building a $73 million ad- ministrative and event office for visiting surgeons. e headquarter expansion should add more than 500 employees to Arthrex's team. Arthrex also solidified it's partnership with NBC Sports. Camber Spine (Wayne, Pa.). Camber Spine started 2017 on a strong foot, earning FDA clearance for its Siconus SI Joint Fixation System early on. Camber also achieved FDA clearance for the SPIRA-C Open Matrix Cervical Interbody device later in 2017 and launched SPIRA Open Matrix ALIF. e company also reached a milestone with sur- geons, announcing 150 ENZA Zero-Profile ALIF device implanta- tions throughout the year. DePuy Synthes (Warsaw, Ind.). With spine on its mind, DePuy Syn- thes spent 2017 on strategic developments and relationships for fur- ther business growth. e 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 proce- dures. To establish itself as a minimally invasive techniques developer, DePuy Synthes also unveiled the Purevue Visualization System for en- doscopic surgery. e 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. e 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. e company's ex- tremities 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 soware 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 mil- lion. In 2018, the company has big plans to generate $690 million in sales. Implanet (Bordeaux, France). Jazz isn't just music to Implanet. e medical device developer spent 2017 expanding its Jazz brand starting with earning the CE Mark for its Jazz Passer, designed for posterior fixation in spine surgery. Aer filing for various Jazz patents in 2017, Implanet ended the year with 22 patents. All of these new develop- ments drove a 20 percent revenue growth in the third quarter. e 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 surgi- cal systems, including 216 da Vinci Systems shipped in the fourth quarter alone. Along with da Vinci Surgical System expansion, In- tuitive 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, Intu- itive 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 indica- tions: Capri Cervical 3D Expandable featuring Lamellar 3D Titanium Technology. e 3-D corpectomy cage system also recorded its first successful case. K2M also logged the 300th surgical spine case using its Rhine Cervical Disc System. 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 com- pany'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 ex- pansion through a three phase partnership with Medtronic to co-mar- ket 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. At

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