PR Newswire05.14.19
CrossRoads Extremity Systems, a privately held medical device company and innovator in foot & ankle implant systems and services, announced a merger agreement with HealthpointCapital. With the agreement, HealthpointCapital will take a controlling interest in the company, providing access to additional operating capital for continued organic growth, market expansion and bolt-on acquisitions to support the rapid growth of the company.
"HealthpointCapital is an ideal partner for us given their expertise and focus in the musculoskeletal space," said Vernon Hartdegen, CEO and Co-Founder of CrossRoads. "Our partnership strengthens our mission to be the leading innovator in the extremity foot & ankle space."
Utilizing advanced technology and materials since its inception in 2014, CrossRoads quickly differentiated itself in the foot and ankle sector with its Active Stabilization technology, the only technology to simultaneously offer enhanced stability with continuous compression, optimizing conditions for bone healing in fusion procedures. Complementing its unique implant designs are streamlined EcoSMART instrumentation systems that offer an improved experience for surgeons in the operating room. The company's EcoSMART Instrument Service provides customers with gamma sterilized, reusable instruments for every surgical case and post-surgery recovery and processing of those instruments. EcoSMART reduces the inefficiencies of traditional non-sterile instrument trays and eliminates the waste associated with typical disposable instruments.
"CrossRoads' unique product platform, particularly its Active Stabilization technology and EcoSMART Service, made them an attractive investment in the extremity sector, which continues to be one of the most rapidly growing segments of the musculoskeletal market," said Mike Mogul, President and Managing Director of HealthpointCapital. "With our deep understanding of this space, CrossRoads' exclusive technology made them a logical addition to our portfolio of rapidly growing companies."
"CrossRoads' investors are excited about this new relationship with HealthpointCapital and what it means for the future of CrossRoads. We remain holders with a substantial stake in the company's future," said Gary Stevenson, co-founder and Managing Partner of MB Venture Partners. "Since our initial investment four and a half years ago, management has been excellent stewards of investors' capital creating the value that led to this transaction. We have every reason to believe they will continue to do so going forward."
MB Venture Partners, a Memphis-based investment firm, was the lead institutional investor in CrossRoads prior to the merger. Both MB Venture Partners and CrossRoads' management team will remain significant investors. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. served as legal advisor to HealthpointCapital. Waller, Lansden, Dortch, & Davis, LLP served as legal advisor to CrossRoads.
"HealthpointCapital is an ideal partner for us given their expertise and focus in the musculoskeletal space," said Vernon Hartdegen, CEO and Co-Founder of CrossRoads. "Our partnership strengthens our mission to be the leading innovator in the extremity foot & ankle space."
Utilizing advanced technology and materials since its inception in 2014, CrossRoads quickly differentiated itself in the foot and ankle sector with its Active Stabilization technology, the only technology to simultaneously offer enhanced stability with continuous compression, optimizing conditions for bone healing in fusion procedures. Complementing its unique implant designs are streamlined EcoSMART instrumentation systems that offer an improved experience for surgeons in the operating room. The company's EcoSMART Instrument Service provides customers with gamma sterilized, reusable instruments for every surgical case and post-surgery recovery and processing of those instruments. EcoSMART reduces the inefficiencies of traditional non-sterile instrument trays and eliminates the waste associated with typical disposable instruments.
"CrossRoads' unique product platform, particularly its Active Stabilization technology and EcoSMART Service, made them an attractive investment in the extremity sector, which continues to be one of the most rapidly growing segments of the musculoskeletal market," said Mike Mogul, President and Managing Director of HealthpointCapital. "With our deep understanding of this space, CrossRoads' exclusive technology made them a logical addition to our portfolio of rapidly growing companies."
"CrossRoads' investors are excited about this new relationship with HealthpointCapital and what it means for the future of CrossRoads. We remain holders with a substantial stake in the company's future," said Gary Stevenson, co-founder and Managing Partner of MB Venture Partners. "Since our initial investment four and a half years ago, management has been excellent stewards of investors' capital creating the value that led to this transaction. We have every reason to believe they will continue to do so going forward."
MB Venture Partners, a Memphis-based investment firm, was the lead institutional investor in CrossRoads prior to the merger. Both MB Venture Partners and CrossRoads' management team will remain significant investors. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. served as legal advisor to HealthpointCapital. Waller, Lansden, Dortch, & Davis, LLP served as legal advisor to CrossRoads.