Bioventus Jumps on the Band Wagon
Bioventus, which has 700 employees and generates $300 million in annual sales, is one of the largest orthobiologics companies in the world. Its lead products include hyaluronic injectable products for the knee (Supartz FX or Gelsyn3), bone fracture healing products (Exogen) and, finally, bone graft products (OsteoAMP and Signafuse).
On January 31, 2018 Bioventus announced that it had made a $2.5 million investment into CartiHeal. Said Bioventus CEO Tony Bihl at the time, “Agili-C shows great promise to relieve osteoarthritis pain for a large patient population and we look forward following the pivotal trial to a successful culmination.”
OTW followed up and asked Tony Bihl several questions about this highly strategic investment.
OTW: Why did Bioventus make this investment?
Bihl: CartiHeal is a company we have been looking at very closely as we identify opportunities to grow our orthobiologics portfolio. We have been impressed with the results of initial trials showing that Agili-C has provided positive patient outcomes over the short term.
OTW: Will the return on investment be in the form of distribution rights for CartiHeal?
Bihl: The investment in the current trial, known as the Agili-C™ IDE study, allows us to have a Board Observational Seat so we can see the data from this longer-term trial. This could lead to developing a deeper relationship.
OTW: How does CartiHeal fit into the overall product line and strategic direction of Bioventus?
Bihl: This offering has great potential and makes sense for us as we are actively looking to bring more osteoarthritis solutions to market and become a global leader in the treatment of OA.
OTW: Tony, what is your best guess as to the year of commercialization?
Bihl: It does have a CE mark but is not currently available in OUS markets. We expect the trial will conclude in the next four to five years, which could lead to approval in the U.S.
Bottom Line
Some of the smartest companies in orthopedics have made some serious bets on this former spin-off from Ben-Gurion University in Israel. They’ve seen more data than is publicly available and they are voting with their wallets.
Stay tuned, for sure.
