Acquisition of Biomatlante SA

RNS Number : 2886V
Advanced Medical Solutions Grp PLC
02 December 2019

Advanced Medical Solutions Group plc

(“AMS”, the “Company” or the “Group”)

 

Acquisition of Biomatlante SA

 

– €8 million acquisition brings a wide range of revenue-generating products in orthopaedic, spine, dental and sports surgery

– Biomatlante provides access to an additional $0.5 billion international surgical market

– Provides a significant patent estate and a development pipeline of next-generation products

 

Winsford, UK, 2 December 2019: Advanced Medical Solutions Group plc (AIM: AMS), the surgical and advanced wound care specialist company, today announces that it has acquired French company Biomatlante SA (“Biomatlante”), a well-established international developer and manufacturer of innovative surgical biomaterial technologies for €8 million (approximately £7 million) in cash, with a potential further up to €0.3m due over the next two years

 

Acquisition rationale and benefits

The acquisition will strengthen AMS’s product portfolio, R&D pipeline, and market access. It provides the Group with a range of revenue-generating surgical products and an R&D pipeline of complementary biosurgical technologies and offers significant growth potential in additional surgical markets estimated to be worth $0.5 billion. The Acquisition is expected to be marginally earnings enhancing in the first full year of ownership.

 

Biomatlante’s biosurgical products, which are sold mainly in Europe, are complementary to AMS’s surgical product portfolio and generated sales of more than €4 million in 2018. AMS anticipates increasing the sales of these products in other jurisdictions through its existing global commercial infrastructure, as well as leveraging Biomatlante’s established presence in France for the Group’s existing surgical product portfolio.

 

The R&D pipeline and platform technologies which AMS acquired will broaden the Group’s biosurgical technology offering while also offering multiple synergies across the sales, marketing, regulatory, operational divisions and R&D.

 

Terms of the transaction

The Acquisition is for an initial consideration of €8 million (approximately £7 million) in cash, on a debt-free and cash-free basis, to be funded from AMS’s existing cash resources, which were £64 million at 30 June 2019. A potential further up to €0.3m is due over the next two years subject to the achievement of certain new product approval milestones. The founder of Biomatlante, Doctor Guy Daculsi, has entered into a consultancy agreement with AMS to provide ongoing R&D and regulatory support until 31 December 2021.

 

Overview of Biomatlante

Biomatlante has a patent-protected technology platform with a wide range of biomaterial products used in orthopaedic, spinal, dental and sports surgery and a development pipeline of next-generation products. The company’s commercialised products, which are approved for sale in over 50 countries worldwide, include synthetic bone substitutes, collagen membranes and bioabsorbable screws. In addition to the marketed products.

 

For its financial year ended 31 December 2018, Biomatlante reported revenue of more than €4 million and a net profit of approximately €0.2 million. As at 31 December 2018, Biomatlante reported gross assets of approximately €2.4 million.

 

Biomatlante employs 36 full time staff and operates two fully-equipped modern facilities close to Nantes in France, which include manufacturing, innovation and administration over 1,330 square metres with eight dedicated clean rooms.

 

Biomatlante is ISO 13485 and MDSAP accredited with extensive clinical evidence and is well prepared for the new European Medical Device Regulation.

 

 

Commenting on the acquisition, Chris Meredith, CEO of AMS, said: “This acquisition is in line with our strategy to acquire technologies that are complementary to our surgical portfolio and allow us to leverage our global routes to market. The acquisition grants AMS access to multiple new markets, including the synthetic bone substitutes market which is estimated at $0.5 billion. We are excited to welcome the Biomatlante team to AMS and look forward to working together with them to accelerate the commercial success internationally and to continue to develop the Biomatlante technology in a wide range of potential applications and indications.”

 

Commenting this acquisition, Chantal GOBIN-DACULSI, Co-founder and President of Biomatlante said: “This is an important stragecic step for Biomatlante and we are excited to become part of the AMS group. AMS  is a high quality global Company with the scale, expertise and track record of realising the value of scienitific innovation and rapidly growing the sales of marketed products. Our product portfolios, product pipelines and geographic footprints are highly complementary, and, as part of the AMS family, the know-how of our team can be fully realised, allowing our pipeline of synthetic bone substitutes to be commercialised on a global scale.” 

 

 

– End –

 

For further information, please visit www.admedsol.com or contact:

 

Advanced Medical Solutions Group plc

Tel: 44 (0) 1606 545508

Chris Meredith, Chief Executive Officer

Eddie Johnson, Chief Financial Officer

Consilium Strategic Communications

Tel: 44 (0) 20 3709 5700

Mary-Jane Elliott / Matthew Neal / Nicholas Brown / Olivia Manser

AMS@consilium-comms.com

Investec Bank PLC (NOMAD & Broker)

Tel: 44 (0) 20 7597 5970

Daniel Adams / Gary Clarence / Patrick Robb

 

 

About Advanced Medical Solutions Group plc – see www.admedsol.com

 

AMS is a world-leading independent developer and manufacturer of innovative and technologically advanced products for the global surgical and woundcare markets, focused on quality outcomes for patients and value for payers. AMS has a wide range of surgical products including tissue adhesives, sutures, haemostats, and internal fixation devices, which it markets under its brands LiquiBand®, RESORBA®, and LiquiBandFix8®. AMS also supplies wound care dressings such as silver alginates, alginates and foams through its ActivHeal® brand as well as under white label. In 2019, the Group acquired Sealantis, an Israeli-based medical device company with a patent-protected internal sealant technology platform.

 

AMS’s products, manufactured in the UK, the Netherlands, Germany, and the Czech Republic, are sold globally via a network of multinational or regional partners and distributors, as well as via AMS’s own direct sales forces in the UK, Germany, the Czech Republic and Russia. The Group has R&D innovation hubs in the UK and Germany, as well as the recently acquired R&D facility in Israel. Established in 1991, the Group has approximately 650 employees. For more information please see www.admedsol.com

 

 

About Biomatlante

A pioneer in biologics solutions, Biomatlante develops, manufactures and commercialises synthetic bone graft technologies.

Biomatlante specializes in producing synthetic biomaterials for bone regeneration and is a world leader in bone graft technologies, selling its products in over 50 countries. Biomatlante’s products are routinely used in orthopaedics and trauma surgery, in spine, ENT, maxillofacial and dental surgery.

Biomatlante collaborates closely with universities and research centers across the world:
Amongst others, it collaborates with CNRS (French National Center For Scientific Research), INSERM (National Institute of Health and Medical Research) as well as several other national and international universities. These partnerships enhance Biomatlante ability to be in the frontier of innovation of new biomaterials.

MBCP® Technology is a biphasic calcium phosphate synthetic bone graft substitute platform with a unique micro and macroporous structure that most closely resembles to the architecture of natural human bone. MBCP® Technology products are available in different shapes (granules, blocks and anatomical shapes), injectable/moldable putty, resorbable osteosynthesis (based on specific composite material  combining MBCP® granules and polymers), and MBCP® smart scaffold  for bone tissue engineering to be associated with total bone marrow or expended mesenchymal stem cells. Proven Osteogenic and osteoinductive properties are related to the Biomatlante bioactive ceramic. EZ-Cure® collagenic membrane, complementary product to the bone graft line, is proposed to dental surgeon for a full surgical solution in maxillofacial surgery.

https://www.biomatlante.com/en/


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

ACQTTBFTMBIMMJL