Isto Biologics Acquires NovaBone

Isto Biologics has acquired NovaBone Products LLC (NovaBone), a developer and manufacturer of synthetic bone graft products, from Halma plc. Neither company disclosed the deal’s financial terms.

Supported by Keensight Capital, the acquisition gives Isto Biologics a differentiated portfolio of bioactive glass technologies and expands its ability to support surgeons with a broader range of bone graft options.

“This acquisition is a transformative milestone for Isto. NovaBone has built a highly regarded product portfolio supported by strong clinical evidence and an excellent reputation among surgeons,” Isto Biologics CEO Brian Barnes and President Nate Taylor said. “The addition of its synthetic bone grafts broadens our offering and strengthens our ability to support surgeons across a wider range of procedures. We look forward to building on our shared commitment to innovation and helping patients heal faster.”

NovaBone develops and manufactures synthetic bone grafts based on its proprietary bioactive glass technology, which are sold in more than 40 countries worldwide. NovaBone’s products are supported by 20-plus years of clinical evidence and used across spine, orthopedic, foot and ankle, trauma, extremities, and dental procedures.

The acquisition strengthens Isto’s portfolio by adding new, differentiated synthetic products, enabling the company to provide surgeons with a broader range of bone graft substitutes, according to executives. NovaBone will also reinforce Isto’s presence in several surgical end-markets, while expanding its international footprint through an established presence in Europe, Asia-Pacific and Latin America. Together, the two businesses can reach a broader customer base through Isto’s commercial platform while combining complementary R&D and manufacturing strengths to drive continued innovation.

Completed 10 months after Keensight’s investment in the business, the deal marks Isto’s first strategic acquisition and reflects its ambition to build a transatlantic leader in bone regeneration.

“Since partnering with Brian, Nate, and Isto’s management team last year, we have shared the ambition of building a leading orthobiologics platform through organic growth and targeted acquisitions,” Keensight Capital Partners Amit Karna and David Piccoli stated. “NovaBone is a highly strategic addition to Isto’s growing platform that will strengthen Isto’s product offering, expand its geographic footprint, and position the combined business as a transatlantic leader in bone regeneration.”

Isto Biologics is a biologics and cellular therapy company. Focused on Helping Patients Heal Faster through solutions for bone regeneration and cell-based therapies, Isto’s flagship product is an autologous cellular solution, the Magellan Autologous Platelet Separator. Isto has grown by developing comprehensive bone grafting options across all categories of bone grafts: InQu Bone Graft Extender & Substitute; Influx Advanced Allograft Technology, including Fibrant Functional Allograft Constructs, SPARC Integrative Bone Matrix, and ProteiOS Allograft-Derived Proteins. 

Founded in 2002 and based in Alachua, Fla., NovaBone developed the first bioactive synthetic bone graft offered to the orthopedic community and has long been at the forefront of bioactive glass bone graft devices. It has developed numerous formulations and delivery systems of its patented, bioactive technology platform that result in accelerated bone growth. In total, their exclusively formulated bone graft substitute has been used for the repair of osseous defects throughout the skeletal system for more than two decades and used in over 2 million clinical applications with success validating the safety and efficacy of its technology. 

Keensight Capital, a leading European Growth Buyout¹ firms, supports entrepreneurs as they implement their growth strategies. With over 25 years of experience and more than €8 billion of assets under management, Keensight Capital’s seasoned professionals leverage their differentiated private equity experience to invest in profitably growing companies generating revenues ranging from €10 million to €400 million. Drawing on its expertise in the technology and healthcare sectors, Keensight identifies the best investment opportunities in Europe and works closely with the management teams, providing capital, strategic guidance and operational support. Keensight operates in more than 90 countries globally with a presence in Paris, London, Boston, and Singapore. 

Reference
¹ Growth Buyout: investment in profitable, private companies experiencing strong growth, in minority or majority positions, with or without leverage, using a flexible approach tailored to the needs of individual entrepreneurs, to finance organic growth projects, acquisition strategies, or provide historic shareholders with liquidity.