ApiFix acquired by OrthoPediatrics
The Trendlines Group is pleased to announce the 100% acquisition of portfolio company ApiFix, a company focused on non-fusion treatment of progressive adolescent idiopathic scoliosis, by OrthoPediatrics, a company focused exclusively on advancing the field of pediatric orthopedics. The Acquisition was signed and closed on 1 April 2020; Trendlines held 18.62% of ApiFix at closing.
ApiFix shareholders are to receive an aggregate of 934,783 new common shares of OrthoPediatrics stock and US$2 million at closing, plus guaranteed milestone payments and an earnout over a period of four years to an estimated total of at least US$67 million. This marks Trendlines’ largest exit by value since its initial public offering in 2015. An update to this news with full financial details was published here.
ApiFix, founded in 2011 with investment from and the active involvement of Trendlines, in addition to support from the Israel Innovation Authority, ApiFix is officed at Trendlines’ Israel headquarters and in Boston, Massachusetts. ApiFix is a leading motion-preservation scoliosis correction company; their Minimally Invasive Deformity Correction (MID-C) system has U.S. Food and Drug Administration (FDA) and CE Mark approvals. When compared to both traditional spinal fusion and tethering procedures, the benefits of the MID-C system include measurable reductions in surgery time, blood loss, hospitalization, recovery time, and complication rates. Most significantly, the system is removable and avoids permanently limiting range of motion in these young patients.
ApiFix‘s unique technology has strong intellectual property protection, including 46 issued patents and 25 patent applications worldwide. The company is managed by Boston-based executive Paul Mraz who has nearly 30 years’ spine and orthopaedic medical device experience, and serial inventor and entrepreneur Uri Arnin, founding CEO, inventor, and current CTO – under the leadership of ApiFix board chairman, medical device industry executive, and investor, Ed Roschak. Paul, Uri, and the entire Israel-based ApiFix team will join OrthoPediatrics.
Trendlines’ Chairman and CEO, Todd Dollinger, commented,
The acquisition of ApiFix by OrthoPediatrics will expand ApiFix’s business under the global leader of the pediatric orthopedics community. We look forward to OrthoPediatrics bringing market changing scoliosis treatment to pediatric patients worldwide with the ApiFix alternative that fills the treatment gap between non-operative therapies and irreversible spinal fusion.
We are especially pleased to make this announcement in the time of COVID-19 – and worldwide uncertainty, demonstrating our unwavering commitment to growing shareholder value through creating and building companies to improve the human condition.