Jackson, MS (September 18, 2018) – Zavation Medical Products (“Zavation”), a LongueVue Capital (“LVC”) portfolio company, is pleased to announce it has partnered with the management team of Pan Medical U.S. Corp (“PanMed” or the “Company”) to acquire the Company. This partnership broadens Zavation’s service offering by adding a full suite of minimally invasive products, including the novel CurvePlus kyphoplasty system, the simplest and most complete curved kyphoplasty system on the market. The CurvePlus system is the only FDA approved kyphoplasty system that allows for both the balloon and cement to be passed through a curved needle. This not only facilitates precise balloon placement, but limits the number of steps in the procedure and decreases overall procedure time.
Based in Jackson, MS, Zavation designs, engineers, and manufactures a portfolio of spinal hardware and biologics covering key areas including cervical, thoracolumbar, interbody fusion, and minimally invasive surgery. Founded in 2012, Zavation has experienced exceptional growth and created a national network of 150+ distributors across approximately 40 states. The Company has commercialized over 12 product families since inception, with approximately 10 additional novel products expected to launch over the next year. Zavation operates a 30,000 square foot vertically integrated facility with approximately 60 employees.
PanMed, headquartered in Tampa, FL, designs, develops, and manufactures highly complex medical products used in minimally invasive procedures, primarily in the kyphoplasty and interventional radiology markets. PanMed has built a differentiated position with its extensive expertise in highly specialized balloons, catheters, needles, and instrument kits. PanMed was founded in the United Kingdom over 30 years ago with a focus on the catheter balloon market. Recognizing the sizable opportunity in the U.S., the Company shifted its focus to the kyphoplasty and interventional radiology markets and relocated operations to the United States in 2016. PanMed sells branded products through a network of independent distributors, agents, and OEMs, while also maintaining a private label program for spinal hardware companies throughout the world. The Company is currently expanding into a 14,000 square foot facility to meet outsized demand for its novel and new CurvePlus platform.
“We are delighted to partner with Zavation, a high growth complementary hardware business with incredible customer service and a deep knowledge of the U.S. market. We have a strong relationship with the Zavation team, as PanMed has been a supplier to Zavation for over three years. We see significant value in the transaction, and, as such, have invested in the combined business,” said Dr. Max Nasralla, visionary Founder and President of PanMed, who will continue in his current role throughout the integration process and remain as a shareholder and strategic advisor to the combined entity thereafter. “With our growth trajectory, we need to ensure the ability to continue to provide exceptional customer service, which the Zavation partnership will enable us to do.”
“An important component of choosing a partner for PanMed was a cultural fit that will provide continuity to our customers, who are critical to our ongoing success,” said Jennie Budding, COO of PanMed and incoming Vice President at Zavation. “I have watched this business grow over the past 15 years, and I am delighted that our new partners will provide our team with the resources needed to successfully scale the business while never compromising our commitment to quality and to our customers, both domestically and abroad.”
Jeffrey Johnson, CEO of Zavation, added, “After years of testing a variety of different kyphoplasty balloons for our ZVPlasty system, we realized that many competitive products on the market are substantially inferior to those of PanMed. We saw an opportunity to partner with PanMed to provide a unique and proprietary curved kyphoplasty solution, and we could not be more excited about the future of our partnership. The combined business will have an industry leading product portfolio, and we are thrilled to offer PanMed’s products to our network of distributors and surgeons.”
“I am extremely excited to work with Jennie [Budding], Max [Nasralla], and the rest of the PanMed team to methodically grow PanMed for the years to come,” said Brad Risher, Senior Vice President of Interventional Spine at Zavation. “PanMed has the potential to disrupt the kyphoplasty and interventional radiology markets, and we look forward to welcoming the PanMed organization into the Zavation family.”
Baird served as exclusive financial advisor to LVC and Zavation on the transaction. Abacus Finance Group, LLC provided the senior debt financing to Zavation in support of the transaction. Zavation and LVC’s legal counsel was provided by McGuireWoods, LLP.
To learn more information about Zavation and its products, visit www.zavation.com
To learn more information about PanMed and its products, visit www.panmed.us
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