All-

Our competitive landscape at Bioventus is something we have to constantly keep track of as it is always changing and evolving as our external environment shifts.

Playing “bigger then we are” is a critical tactical and strategic lever that our commercial team employs.  Great credit goes to John Nosenzo and his team for their execution across many fronts in this area.  This is a part of the business that admittedly often goes unnoticed.

Here are some key elements of how we play bigger and how this drives our success.

  • Our HA market access strategy and ability to garner domestic contracts such as United Healthcare and other regional payers has allowed us to access accounts we would not otherwise.  This strategy and group led by Tim Donovan has done some fantastic work getting us in front of some of the largest payers in the US.  For our HA growth strategy this has been critical and the strategy has always been driven by quality and not quantity when it comes to contracts.
  • Our ability to drive IDN contracts particularly with Bone Graft Substitutes has allowed us to open new doors at hospitals and institutions we would not otherwise by creating a hunting license for our selling efforts.  Special recognition to Craig Nichols for his leadership in this area which has made a significant difference in executing our BGS strategy and consistently driving double digit growth!
  • As we continue to drive Exogen growth our payer coverage strategy and ability to network with payers gaining new contracts is a critical barrier to competitive entrants and also protects our pricing. This activity is also led by Tim’s group as we look to put in place some similar coverage contracts with some of the Advanced Rehab products such as the L300 Go.
  • Commercialization of new products is also something that if appropriately driven (and with a little luck;)) can make a significant difference in allowing us to play bigger and drive ultimate success.  Our peripheral nerve stimulation (PNS) products Stimrouter and Talismann as well as CartiHeal have coding considerations that are critical in ensuring our physician customers are reimbursed appropriately in using our devices.  While we do not give coding advice to physicians we advocate for appropriate coding with specialty societies as well as the American Medical Association in the right forums.
  • Our international business allows us to think broader and bigger in regards to our business.  Today we have direct sales organizations in three countries OUS and as the business scales in breadth and depth of products through our M&A efforts we do expect we can leverage our structure and office in Amsterdam to convert more countries to a direct mechanism allowing us to improve overall revenue and profitability in this area of the business.  Getting our international business to 30% of revenue in the next four years is a good goal and I know we can do this!

Our Market Access team as well as our international infrastructure have been excellent selling points as we position Bioventus to the outside world.  Our ability to play big in this regard was particularly relevant for both the Bioness acquisition and the pending Misonix acquisition.  The strength of Bioventus approach to the market was an asset that the Boards of both target companies valued.

Finally, please see this press release announcing new HA related guidelines from the American Academy of Orthopedic Surgeons (AAOS) emphasizing the strong benefits of high molecular weight HA which Durolane has the highest molecular weight on the market today!  Special thanks to Derek Hurdle, Vivek Munshi and Tom Hill for sharing this excellent news via this PR!

Best Regards,

Ken