Tecres, a medical technology company dedicated to the development of bone cements and bone substitutes and private equity firm Keensight Capital have invested in Demetra Holding.
This new Group, led by Tecres’ shareholders, combines two of the major players in the field of bone cement and biomaterials, Tecres SpA (Italy-based) and aap Biomaterials GmbH (Germany-based) which will continue to act as separate entities with their own respective business strategies.
The two companies have been able to position themselves as leaders on their respective segments through different business models and distribution strategies. Historically, aap has been focussing on the Contract Manufacturing (CMO) model, leveraging its solid reputation and high quality standards to supply world leading orthopaedic groups with its white-labelled products, while Tecres has developed its own-branded product line worldwide through disruptive product innovations such as the Spacer®, the first temporary prosthesis to treat post-operative infections and double antibiotic cements.
Following the transaction, the two businesses will continue to act separately and to develop their business and commercial strategies. Moreover, this combination will allow the two entities to benefit from numerous industrial and R&D synergies, including biomaterials know-how, which shall foster the companies’ growth. Both management teams and operations will stay in place, with Tecres being led by Denis Faccioli (CEO) and aap Biomaterials by Daniel Zukowski (CEO).
Demetra will count about 140 people and will operate in over 70 countries.
Denis Faccioli, CEO of Tecres, says: “The possibility brought by Keensight to set up Demetra Holding and acquire aap Biomaterials, is an exceptional opportunity to mutualize experiences with one of the most respected players in the sector while allowing us to keep our autonomy and distinctive company characteristics. We are very happy to start collaborating with Keensight and aap Biomaterials on this exciting project aimed to create one of the leading players in our field.”
Pierre Rémy, Managing Partner at Keensight Capital, says: “The combination between aap and Tecres will gather two seasoned and entrepreneurial international managements. We are very proud to support the ambitions of these co-leaders in the highly attractive and fast growing global bone cement and biomaterials industry. With their international niche leader profile, and their profitable growth, they perfectly fit with our investment strategy. Today, thanks to their successful reputation and prestigious customer base, the companies have wide room to increase their market share by leveraging their complementarities and notably by accelerating the penetration in international markets. External growth is also currently being contemplated to broaden the Group’s product offering with some selected biomaterials opportunities.”
