Overview
Biomaterials comprise substances, synthetic or natural in origin, that treat, augment, temporarily replace or act as scaffolds for tissue repair, replacement and regeneration. Advances in materials technology and a better understanding of biological processes involved in tissue formation and remodeling have led to the introduction of resorbable and non-resorbable biomaterials-based products to address long standing deficiencies of traditional products and therapies.
Implantable biomaterials products are used by surgeons in various surgical procedures where reinforcing, reconstructing and repairing tissue and preventing leaks of air or blood is necessary for the achievement of a favorable outcome. Biomaterial offerings include breakthrough products that allow surgeons to reduce the time, cost and complications of surgery, shorten recovery periods and improve patient outcomes. Greater use of biomaterials-based products by surgeons has been observed in many markets including orthopedics, cardiology, general surgery, urology, drug delivery, wound care, and dentistry.
Contemporary biomaterials products include surface coating materials for medical devices; synthetic vascular grafts; bio-resorbable fixation devices; tissue-based heart valves; allograft and xenograft soft tissue products; allograft machined bone implants and DBMs; synthetic bone grafting material; adhesion prevention products; recombinant growth factors; and engineered tissue.
Market Opportunity
Over the past several years, the number of biomaterials product offerings has increased significantly, as has the number of companies offering biomaterials-based products. Driving this market is the demand for more natural products to help promote healing with the ultimate goals of reducing pain associated with surgery and recovery, improving the effectiveness of surgical treatments and accelerating the return of patients to productive and healthy lifestyles. Biomaterials devices address products and therapies in virtually all major medical specialties. The orthopedic and cardiology biomaterials markets are presently two of the largest with both markets estimated to be in excess of $1 billion each in 2003. Growth is forecast in these markets to grow between 8% and 18% per year.
Kairos Focus
Due to the nature of many devices in this space, coupled with the large market potential of the products, many large medical device companies have chosen to partner with small developers, licensing and/or distributing biomaterials products in place of purchasing developers outright. As such, this sector provides Kairos with many opportunities that fit nicely within our purview. We have identified, and will pursue investment in, companies whose proprietary products effectively address the demands outlined above as well as provide a profound, documented change in surgical outcomes, reduce overall costs and/or satisfy unmet needs. |
