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New Technologies Drive Growth In Orthopedic Extremities Market

While the mature hips, knees, and spine segments of the orthopedics industry are growing by low single-digit rates, some sectors of the extremity industry are growing by 13% to 14%. START-UP profiles three companies in different sectors of extremities: Conventus Orthopaedics, in the hand and wrist market, Nextremity Solutions, working on devices for the forefoot, and Cartiva Medical, with a cartilage platform and an initial focus on the great toe.

For start-ups operating in the extremity sector of orthopedics, which are developing surgical treatments for fractures of the hand, wrist, elbow, foot, ankle, or shoulder, the question of exit opportunity is a risk that can be pretty much taken off the table. The industry has virtually grown up by acquisitions of small companies, dating back to what was probably its launch in 2004, when Small Bone Innovations Inc. granted the field visibility by becoming a pure-play in extremity products, rolling up companies developing small bone procedures and physician-developed products for the thumb, hand, wrist, elbow, foot, and ankle. At the time, these were niche opportunities not pursued by large orthopedic manufacturers.

The field is in its infancy, having largely grown as a result of acquisitions made by Wright Medical Group NV, an early leader in the space, which in the...

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