And nobody's going to work today, we're all going to stay at home
And daddy doesn't understand it, they always said we were good as gold
And we can see no reason, cause there are no reasons
What reason do you need to be shown
I don't like Monday's I want to shoot the whole day down
It's one of those Monday's fellow bloggers. A tough day for the Orthovita sales force, a jubilant day for Stryker. On Monday, May 16th, the Almighty Stryker announced that it had acquired Orthovita for $316 million in cash or $3.85 per share. A far cry from the days that "La Vita Loca" was hovering over $6. Some analysts may believe that this was a responsive deal to what's been going on in the industry. Fortunately for Stryker, they not only acquired Vitoss, but at the same time enhanced their portfolio with Vitagel a surgical hemostat, and Cortoss. The need for an orthobiologic was desperately needed considering Stryker screwed the pooch on OP-1 to the tune of a few hundred million dollars at best, and their distributors have lost, or have been losing access to Actifuse, contrary to what many skeptics said wouldn't happen, when Baxter acquired Apatech. It will only be a matter of time before many of the sales reps from Orthovita will be pounding the concrete down on 125th Street looking for employment. Like any major deal, there will be collateral damage. A nice way of saying prepare for your walking papers.
Kudos must go out to the brain trust at "La Vita." Koblish, Marx and Smith were not only able to bring some good products to the marketplace, they were able to execute their objective. Hopefully there weren't titanium fanged dogs thrown in with the deal. If anything, maybe, just maybe, some of the wannabe companies in the industry will learn that the race doesn't necessarily go to the swiftest. About a year ago, many industry professionals knew that there were deals to be had. This could be the start of something beautiful as we gain consolidation momentum. Good for some, unfortunate for others. But remember what TSB always says, when one door closes, another one opens. So in closing, TSB wants to know what our bloggers think, and how does this effect the industry and does solo flying biologic companies?
PS: Our apologies for not getting this post out this a.m.... blogspot has been behaving like crapspot lately with technical difficulties, maybe it's time to initiate our own website.