US biotech firm OrthoPediatrics acquires Trendlines portfolio firm ApiFix

Nasdaq-listed bio-science company OrthoPediatrics has acquired ApiFix, a portfolio company of Singapore-listed Trendlines, for $2 million in cash and nearly 1 million shares of the company’s common stock, according to an announcement.

OrthoPediatrics, a company focused on advancing the field of pediatric orthopaedics, said the acquisition includes ApiFix’s minimally invasive deformity correction system for non-fusion treatment of progressive idiopathic scoliosis.

ApiFixis is an Israel and Boston-based medical device company known for its less invasive spinal deformity correction system. Together with vertebral body tethering, it is one of only two non-fusion technologies approved by the US Food and Drug Administration under its Humanitarian Device Exemption provision.

The company is led by Paul Mraz, a Boston-based executive with nearly 30 years of spine and orthopaedic medical device experience.

Based on the agreement, ApiFix shareholders will receive an aggregate of 934,784 new common shares, representing approximately $38 million, of the US firm and $2 million in cash. The deal also involves guaranteed milestone payments in the form of cash and shares and an earnout over a period of four years.

The acquisition comes as OrthoPediatrics estimates non-fusion procedures to grow significantly as more patients, their families, and surgeons recognise the benefits of non-fusion.

Traditional surgical correction is a highly invasive procedure involving fusion, which results in a rigid spine and low patient quality of life.

“We believe that ApiFix fills a major treatment gap that could potentially allow patients to avoid fusion surgery,” Mark Throdahl, President and Chief Executive Officer of OrthoPediatrics, said.

Trendlines, which held 18.62 per cent of ApiFix at the closing of the acquisition on April 1, estimated ApiFix’s last valuation at $3.5 million. The minimum guaranteed consideration due to Trendlines from the acquisition is $13.2 million.

Trendlines said its shareholdings in ApiFix will be converted into cash, short-and long-term receivables, and short- and long-term investments.

“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,” said Trendlines chairman and CEO Todd Dollinger.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.