Small Bone Innovations, Inc. (SBi), a orthopedic company, has recently acquired its German distributor and established Small Bone Innovations Deutschland GmbH (SBi Deutschland). It is based in Donaueschingen, which is conveniently located less than 80 miles from both Stuttgart and Zurich. The company is in the process of re-launching the Scandinavian Total Ankle Replacement (S.T.A.R.) under the SBi brand, and has already scheduled the first surgeries in Germany and Italy.

SBi Deutschland has acquired new clients for S.T.A.R. as well as other SBi products. It has also expanded its distribution network in Germany by contracting with an additional independent sales agent.

Anthony G. Viscogliosi, chairman & chief executive officer of SBi, said: “With our business in France continuing to grow strongly and becoming further entrenched, we are now focusing our efforts to further raise our market presence in Germany.”

Completed divestiture of french manufacturing operations

SBi recently divested its French manufacturing operations to an entity owned by a former executive of the company.

“This transaction was the final step in the reorganization of SBi’s international business from one based on manufacturing to one focused on sales, product development and educational services for our surgeon customers,” Viscogliosi stated.

The initial phase of this company-wide strategic initiative began with the divestiture of the US manufacturing operations in early 2007. This latest agreement to transfer ownership of SBi’s French manufacturing operations is designed to reduce operating costs, and support the company’s focus on driving sales growth and providing the highest level of customer service.

Viscogliosi noted that the transaction had been effected successfully by transferring all manufacturing employees to the acquiring entity. As an integral part of the sale agreement, the new owner has committed to a multi-year guaranteed supply agreement with SBi that will ensure continuity of supply for the company’s customers throughout Europe, North America, Latin America, Middle East-Africa, and the Asia-Pacific region.

“We remain committed to maintaining and expanding our international presence while preserving a secure global manufacturing and supply source in Europe,” . Viscogliosi said. “At the same time, we have avoided the loss of employment for the staff in the Bourg-en-Bresse facility, and expect this transaction to result in better service and quality of products, while allowing SBi to focus on serving surgeons and their patients,” he added.

Establishes Regional Hub Strategy

SBi has established its first regional hub in France to serve the European market. Anthony Viscogliosi commented that “Mr. Jean-Jacques Martin, Managing Director of Small Bone Innovations International, S.A.S., has been instrumental to our international success having founded Fixano, S.A.S. in France, our predecessor European-based company. With a more established foundation in Germany, we are well positioned to increase our presence in this key market and also continue our strong growth throughout Europe.” SBi’s regional hub strategy to focus on key countries within geographical regions of the world will be executed by locally-based management. SBi plans to create additional regional hubs throughout the world.