The Riverside Company has acquired Orliman, a Spanish manufacturer and distributor of non-invasive orthopaedic braces and supports.
The global orthopaedic device market is valued at EUR16.1 billion.
Orliman, founded in 1980 and headquartered in Valencia, is makes and distributes devices that support patients’ lower limbs and torsos. All Orliman products are traded under its proprietary brand names and bear IBV certification. Orliman recorded sales of approximately EUR14 million in 2010.
Having completed more than 250 acquisitions since 1988, Riverside is a well-established generalist investor. However, the firm has developed specialties in select industries. With over 50 acquisitions to date, healthcare represents Riverside’s most active specialisation. In Europe, Riverside has a strong healthcare portfolio, with companies that offer products or services centred on patient preference, improving quality of care, or taking cost out of the healthcare system. Orliman joins Riverside’s current European healthcare portfolio, which includes The Summit Medical Group, Crioestaminal and Diatron Group.
Riverside’s international reach opens new markets and sourcing opportunities for Orliman. The firm’s global operating expertise allows its portfolio companies to access markets and manufacturers they are too small to reach independently. Specifically, Riverside’s Asian resources include a team dedicated to helping companies buy, sell and manufacture in Asia.
“Riverside has had previous success in the US orthopaedic market with FLA Orthopaedics, which under Riverside’s ownership increased revenue and EBITDA by 166% and 330%, respectively. We will leverage this knowledge and experience and apply it to Orliman to strategically grow the company," says Marcos Llado, Riverside partner in Madrid. "The global orthopaedic product market is highly fragmented and there are further opportunities to acquire companies that provide complementary products or broaden Orliman’s geographic presence."
The Riverside team responsible for the transaction included Partner Marcos Llado, Vice President Dominik Heer and Senior Associate Rafael Álvarez-Novoa. Director of Origination Juan Barnechea-Aldatz sourced the deal. Orliman represents Riverside’s fourth acquisition of 2011.
“Orliman is the absolute leader in its market. It is very well positioned in the specialised retail channel in Spain, with over 1,600 retailers directly served,” says Barnechea-Aldatz. “We believe that new product introduction has been a key factor in Orliman’s success in the past, and with several new products currently in the pipeline, we foresee significant growth for the company in the coming years.”
