Orthofix and Neo Medical Announce Partnership to Develop and Market Single-Use Spinal Solutions Focused on Improving Patient Outcomes

Business Wire

September 22, 2020 07:00 AM Eastern Daylight Time

LEWISVILLE, Texas–(BUSINESS WIRE)–Orthofix Medical Inc. (NASDAQ:OFIX), a global medical device company focused on musculoskeletal healing products, and Neo Medical SA, a privately held Swiss-based Medtech company developing a new generation of products for spinal surgery, today announced a partnership and investment agreement to develop and market innovative outcome-driven procedural solutions.

The collaboration will focus on developing a cervical platform and deploying single-use, sterile-packed procedure solutions designed to increase operating room efficiencies, reduce procedural times and costs, improve patient outcomes through novel device designs and techniques, and reduce infection rates. The partnership includes the co-development of single-use instrumentation for cervical spine procedures. Such instruments are ideal for all surgical settings including acute care hospitals, outpatient hospitals and also ambulatory surgery centers, which are rapidly growing as a preferred site of care for spine procedures. Under the agreement, Orthofix will also exclusively distribute Neo Medical’s disruptive value-based thoracolumbar procedure solutions to certain U.S. accounts. Additionally, Orthofix is investing $10 million in Neo Medical to support the ongoing partnership, through a combination of a convertible term loan and an equity investment.

“We are very excited about the partnership with Neo Medical as we believe it will accelerate our efforts to provide innovative patient-centric procedural solutions that improve outcomes, reduce costs, lower the carbon footprint of reusable instrumentation and increase the applicability of procedures across all surgical settings,” said Orthofix President and Chief Executive Officer Jon Serbousek. “We believe there is also a strong value proposition in adapting procedural technology to accommodate the outpatient setting and we have already created initiatives towards optimizing procedural solutions for these facilities.”

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