Trendlines report: 10 companies to watch Q3 2017

10 companies to watch icon

The companies in this report are characterized by having made significant technological progress; five have already begun sales in global markets.

ApiFix  • BioFishencyEdenShieldEscala MedicalFidmi MedicalGordian Surgical • Leviticus CardioMemTechSaturas • Vensica Medical

Notes: This report is updated quarterly. References appear at the bottom of the page.

ApiFix

Minimally invasive scoliosis treatment device
ApiFix aims to disrupt the scoliosis device market with its minimally invasive, non-fusion spinal implant system for the correction of Adolescent Idiopathic Scoliosis (AIS). Worldwide there are approximately 126,000 scoliosis procedures per year, of which 40,000 are AIS, representing a US$2.4 billion implant market. ApiFix believes its total addressable market currently reaches US$1.15 billion.¹

Recent developments

  • Increased the number of surgical procedures to 166
  • Signed an exclusive distribution agreement with Joint Solutions Alliance Corporation, a Canadian medical device distributor
  • Completed first surgical procedures in North America

Status

  • CE Mark
  • Executed 5 distribution agreements (Canada, Spain, Singapore, Holland, Greece)
  • Sales in Europe and Canada
  • 7 families of granted and pending patents

BioFishency

All-in-one water treatment system for land-based aquaculture
BioFishency’s cost-effective, plug-and-play water treatment system enhances water quality, making it possible to double production in ponds and to reduce water use by up to 95% in tanks. Aquaculture is “probably the fastest growing sector in animal protein production” with a market value of US$135 billion in 2015²; 62% of food fish will come from aquaculture by 2030³.

Recent developments

  • Signed term sheet to raise US$1.5 million from a strategic investor
  • 2017 sales of approximately US$0.3 million through 31 August 2017

Status 

  • BioFishency units already operating in China, Indonesia, the Congo, Bangladesh, India, Singapore, Israel, and others
  • Distribution agreements for Bangladesh, India, Taiwan and China; cooperation with several strategic partners
  • IP: patent in national phase

EdenShield

Natural plant-based crop protection solutions
EdenShield’s natural nontoxic crop protection products leverage characteristics of plants that originate in Israel’s semi-desert region to mask plant odor and significantly lower insect attraction, eliminating the need for harsh pesticides. The current global insect pesticides market — estimated at US$14 billion, with the greenhouse segment estimated at US$2 billion4 — seeks cost-effective, environmentally friendly solutions that are synergistic with their existing products.

Recent developments

  • Raised US$2 million from strategic and financial investors
  • Strategic partnership announced with Kibbutz Yotvata in southern Israel to facilitate an increase in production

Status 

  • Ongoing sales in Israel, Italy, Greece, and Spain
  • Distributor agreements, including the EU, US, and Mexico
  • Expanding farming operations to meet growing sales
  • IP: Patent granted (U.S., June 2016, Australia, April 2017); patent published in Europe, Canada, India, Mexico and China; patent filed in Israel and Kenya

Escala Medical

Nonsurgical, incision-free approach to treat pelvic organ prolapse
Escala Medical developed the first repair device for the treatment of pelvic organ prolapse (POP) based on a nonsurgical, incision-free, mesh-free repair approach, offering the first prolapse repair solution suitable for use in a gynecologist’s office. More than 34 million women are affected annually worldwide; with a lifetime prevalence of 50% among women who have given birth. It is forecast that by 2050, the incidence of women with POP will increase by 46%.5

Recent development
Financial investor signed term sheet, joining multinational strategic investor (see Status below), while advanced negotiations in process with additional investors.

Status

  • Successful cadaver studies
  • IP: 1 national phase (U.S., EU, China, Brazil); 1 international patent application filed pin the U.S.
  • Signed term sheet for investment from a top-20 multinational in medtech

Fidmi Medical

Novel feeding device for improved nutrition delivery
Fidmi Medical has developed a uniquely designed, low-profile, enteral feeding device that offers a secure, reliable and discreet solution immediately postsurgery, and when needed, a pain-free removal. Annually, there are approximately 1.3 million enteral device insertions worldwide, and an additional 3 million device replacement procedures performed for blocked or dislodged tubes, representing sales of US$540 million. Transparency Market Research estimates that the global market will exceed US$600 million by 20186.

Recent development
Raised US$2 million investment from B. Braun Melsungen AG; funds will be used to complete clinical trials and to prepare for market entry

Status update

  • Successful initial placements of tubes in patients
  • Submitted FDA 510(k)
  • IP: three patents pending (two in national phase)

Gordian Surgical

Novel integrated port closure system
Gordian Surgical has developed, and is currently marketing the TroClose1200™, an integrated port closure system, available worldwide. The product enables the surgeon to insert the surgical instruments into the abdomen cavity, and when the procedure is completed the port site is closed in a simple, secure and safe manner. The global trocar and closure markets are estimated at a combined US$1.45 billion yearly revenue7.

Recent development
TroClose1200 has been used worldwide with nearly 200 completed procedures

Status

  • Company signed 5 distribution agreements (UK, France, Turkey, Mexico, Panama), with monthly shipments occurring and more agreements in negotiations
  • IP: 3 granted U.S. patents; 1 in national phase
  • FDA regulatory clearance and CE Mark certification (2016)

Leviticus Cardio

Wireless energy system for LVADs
Leviticus Cardio is developing a wireless solution to provide the energy needs of left ventricular assist device (LVAD) implants, eliminating the need for a driveline, a potential entry point for infection. According to Grand View Research, the global LVAD market was valued at US$763 million in 2014 and is set to grow to US$ 1.98 billion by 2022, driven by increased prevalence of cardiovascular disease, advances in technology and favorable reimbursement, among other factors8.

Recent developments

  • 2 new patents issued
  • Completed additional animal trials

Status

  • ISO 13485
  • Successful chronic animal trials and integration with LVADs
  • IP: 10 issued patents; 2 pending in the United States

MemTech

Game-changing membranes for water treatment
MemTech’s ultrafiltration membranes have more than two times higher flux capacity (at similar quality) compared to leading commercial membranes, and are sold for wastewater treatment, pretreatment, drinking water treatment, and nanofiltration. The global membrane wastewater treatment technology market is estimated to reach US$12 billion by 2020, with annual growth of 10.2%9.

Recent developments

  • Sent first Membrane Bioreactor (MBR) product unit to Latin America
  • Began a project for the home purification market with a Chinese partner

Status

  • Increasing sales of membrane products; initial sales of integrated filtration system; expanding partner relationships and product offerings
  • Growing list of industry partners and of customers include Mekorot (Israel’s national water company) and SEB Alliance
  • IP: One issued patent; 2 patents pending in United States

Saturas

The Saturas Decision Support System (DSS) for automatic irrigation is based on its miniature stem water potential (SWP) sensor. Embedded in the trunks of trees, vines, and plants, Saturas’ sensors receive direct feedback/input from the tree or vine to provide online, accurate information for optimized irrigation. Current solutions for measuring water status are labor intensive or costly and inaccurate.

Status and Recent Developments

  • Proven technology with Saturas sensors successfully operating in lemon, clementine, almond, and apple trees for over 10 months
  • Installed about 300 sensors in three experimental farms and six commercials farms in Israel and in Spain
  • Established strategic cooperation with Netafim and NaanDanJain (the leading drip irrigation companies in the world) in Israel and Spain for field trials. These industry leaders are also potential distributors of the system
  • Developed first user interface model
  • Signed term sheet with strategic investors

Vensica

Ultrasound-assisted drug-delivery for overactive bladder
Vensica Medical is developing VensiCare to treat overactive bladder (OAB) with ultrasound delivering Botox® into the bladder wall painlessly, without needles. The procedure can be performed in the doctor’s office or clinic, without anesthesia. OAB is the most common bladder disorder. There are an estimated 33 million OAB patients in the United States alone10.

Recent developments

  • Raised US$2 million investment from Cogentix Medical
  • Cogentix signed an option agreement for the structured acquisition of Vensica

Status update

  • Successful preclinical trials
  • Signed term sheet for new investment

References

[1] U.S. National Center for Health Statistics; OECD Health Data 2015; Statistique annuelle des établissements de santé and CNAMTS (Evolution des actes techniques en secteur liberal); Statistisches Bundesamt; Conjunto Mínimo Básico de Datos – Hospitalización and Ambulatorio; UK Hospital Episode Statistics databases for Admitted Patient Care and Outpatients; Life Science Intelligence Surgical Procedure Volume database.

[2] Food and Agriculture Organization of the United Nations,  http://www.fao.org/aquaculture/en/

[3] “FISH TO 2030 Prospects for Fisheries and Aquaculture.” December 2013. The World Bank. http://www.fao.org/docrep/019/i3640e/i3640e.pdf.

[4] “Global Markets for Biopesticides,” January 2017. BCC Research.

[5] Int Urogynecol J (2013) 24: 1783-1790; Epidemiology and outcome assessment of pelvic organ prolapse; Matthew D. Barber, Christopher Maher. Obstet Gynecol. January 2014; 123(1): 141-148; Prevalance and Trends of Symptomatic Pelvic Floor Disorders in U.S. Women.

[6] “Enteral Feeding Devices Market: Global Industry Size, Market Share, Trends, Analysis, 2012-2018.”
Transparency Market Research.

[7] Endoscopic Access Site Closure Devices Market, General and Pelvic Endoscopic Surgery Devices Market, Medical Market and Technology Reports, chapter 8. MeddeviceTracker

[8] “Congestive Heart Failure (CHF) Treatment Devices Market Analysis by Product (Ventricular Assist Devices, Counter Pulsation Devices, Implantable Cardioverter Defibrillators, Pacemakers, Cardiac Resynchronization Therapy) And Segment Forecasts to 2024.” October 2016. Grand View Research.

[9] Frost Perspectives: Augmentation of Membrane Filtration Technology Market. June 2016. Frost & Sullivan. https://ww2.frost.com/frost-perspectives/augmentation-membrane-filtration-technology-market.

[10] The Burden of Overactive Bladder on US Public Health; Curr Bladder Dysfunct Rep, 2016 March, W. Stuart Reynolds, Jay Fowke, Roger Dmochowski. The Total Economic Burden of Overactive Bladder in the United States: A Disease-Specific Approach; AJMC.com.

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