Emerging Spinal Implant Manufacturer Reports 88% Growth
January 17, 2007 – AUDUBON, PA, USA Globus Medical, Inc., the largest privately held spinal implant manufacturer in the U.S., today announced record revenue for the year ending December 31, 2006, and the successful completion of its Series D round of financing. The Company recorded revenues of $82 million for the year – an increase of 88% over the $43.7 million it achieved in 2005.
According to Rick Kienzle, Executive Vice President, Sales and Marketing, Globus Medical, the strong growth in revenue was driven by a series of innovative product introductions. “With the rollout of our PIVOT™, SUSTAIN®-O, XPand®-R and REVERE™ systems in 2006, Globus is now able to offer a complete line of world-class fusion products to spine surgeons,” said Kienzle. “2007 is also shaping up to be an outstanding year. We plan to add several exciting new products to our fusion, biomaterials, and minimally invasive line-ups, as well as initiate up to four clinical trials employing motion preservation technology.”
Dave Demski, Chief Financial Officer, Globus Medical, commented on the close of the Series D round of financing. “I am very pleased with our capital efficiency,” stated Demski. “Since our inception, we have sold nearly $150 million in spinal implants, while utilizing less than $20 million in equity capital. In less than four years, we’ve been able to deliver a complete line of spinal fusion products, while simultaneously developing several different non-fusion and biomaterials initiatives.”
“Globus Medical is grateful for the trust our shareholders have placed in us,” continued Demski. “Our shareholder base consists primarily of individuals with extensive experience in the spine industry,” said Demski, noting that over 80% of the Company’s equity is owned by employees, executives and distributors of the Company, and 11% is owned by spine surgeons. “Since we first launched the company, spine industry veterans have recognized the tremendous potential of Globus. Our 2006 results validate their insight and enthusiasm, and represent an important milestone for the Company, as we seek to take our place among the preeminent spine companies in the world.”