All,

As we have discussed in the past, our International markets represent a strong growth opportunity for Bioventus in the next five years.  Today our International business, defined as everything outside the US,  represents approximately 10% of our total revenue which is small for a business in Medtech.  We hope to build a larger business Internationally off the backs of our M&A strategy which has dramatically increased the number of available products we can sell outside the US.  We have gone from Durolane and Exogen to at least 12 new products!  This is a first for Bioventus which has historically had no more than two products to sell OUS.  In the next 5 years we see the International business growth being a multiple of total Bioventus revenue growth growing from about $60M in revenue today to $200 to $300M by 2026 which will represent 20% to 30% of our total revenue as Bioventus approaches a $1B business.  This is an exciting and significant opportunity for Bioventus and one we are making plans for today.

Here are the steps we have taken and next steps as we move forward:

  • With the creation of our new Business Units we have appointed a terrific and experienced leader in Anthony Doyle as our General Manager.  Breaking out International from a business perspective will bring new focus and create the strategy and priorities needed to find the most critical levers for growth.  Importantly, Anthony has engaged an outside consultant to help us understand our external markets and, out of all of our new products, find the most “sticky levers” and geographies for growth.  This plan will be rolled out in Q4.
  • Over the past month or so I have been able to spend time with each of our International market leaders and some of their respective teams.  We have a very strong leadership, culture and foundation to build from which is critical to our future success.  Specific shout outs to Josh Kay in Canada, Larry Chen in Asia Pacific, Stefan Brodmeier in Germany, Sue Stafford in the UK and Miguel Estevez representing the remainder of our indirect markets! Congratulations to all on your terrific success and work thus far at Bioventus!  Your leadership is greatly appreciated!
  • We have a foundation in place with our Amsterdam office to build from relative to Finance (Harald Weebers), Marketing (Onno Siegersma), Operations (Geena Portier), Human Resources (Gabriela Masek)  and Executive Administration (Kirsten van Klinken).  We even have our top corporate recruiter working near Amsterdam in Rachel Wardle.
  • We have a committed Executive Team that will dedicate the resources needed from Regulatory, Quality, Legal, Medical Affairs and Operations/Distribution to ensure we do not create bottlenecks for the growth of this area of the business particularly as we see the pace of growth increase outside the US in the coming years.

All growth starts with a foundation.  We have that in place at Bioventus and now we have the products necessary to achieve market penetration.  A focused plan will be the next step!

Thanks International team for all of your great work and your present and future growth!

Have a great week!