IMPLANET has finalized the sale of its MADISONTM knee prosthesis business to MENIX Group’s SERF for €5 million, a strategic move to focus solely on its spine surgery products. The divestment aligns with IMPLANET's goal to enhance its JAZZ® and OSD ranges. The MADISONTM business generated €1.5 million in the first nine months of 2021. Future payments will depend on regulatory milestones, with an additional commission up to €0.5 million based on SERF's sales. This transition is expected to boost resource allocation towards spinal disorder treatments.
IMPLANET reported Q3 2021 revenue of €2.1 million, marking a 21% increase from Q3 2020. Spine activity surged by 49% to €1.8 million in Q3 and 61% to €4.3 million for the first nine months. However, knee surgery revenue fell by 39% in Q3 due to pandemic-related delays. CEO Ludovic Lastennet noted this growth momentum despite challenges in healthcare staffing. The company plans to divest its knee business to focus on spine surgery, aiming to solidify its position in the market and improve financial stability.
Implanet has initiated exclusive negotiations with SERF of the Menix Group to divest its MADISONTM knee prosthesis business. This strategic move is part of Implanet's plan to focus entirely on spine surgery, following its acquisition of OSD in May 2021. The divestment, expected to net up to €5.5 million, relates to a business that generated €2.12 million in revenue in 2020. The agreement includes a transition period for regulatory obligations, aiming for completion by Q4 2021. Q3 2021 revenue will be reported on October 12, 2021.
IMPLANET reported a 43% increase in H1 2021 revenue, reaching €3.72 million compared to €2.59 million in H1 2020. The gross margin rose to 61.2% from 55.7%, while net loss improved by 24% to €1.83 million. The acquisition of Orthopaedic & Spine Development (OSD) contributed to a 71% revenue growth in spine activities. As of June 30, 2021, cash and equivalents totaled €0.37 million. The company anticipates activity acceleration in H2 2021, supported by new agreements and product deliveries.