Small Bone Innovations

About Small Bone Innovations

Small Bone Innovations (SBi) was a specialized medical device company focused on the small bone and joint sector of the orthopedic market. The company was founded in 2004 by Anthony G. Viscogliosi through Viscogliosi Bros., LLC, a merchant banking firm with a specific focus on the musculoskeletal and orthopedics industry. The founding principle was to create a company that would consolidate the fragmented small bone and joint market, addressing trauma and diseases in extremities from the fingers to the shoulder and the toes to the knee. Anthony G. Viscogliosi, who served as Chairman & CEO, brought extensive experience as an entrepreneur and financier in the orthopedics field, having previously co-founded Spine Solutions, Inc., which was sold for $350 million. His background includes a long history on Wall Street as an orthopedic industry analyst and service as a Lieutenant Commander in the U.S. Navy Reserve.

SBi's business model centered on developing and commercializing a comprehensive portfolio of orthopedic products specifically for small bone anatomies. The company grew by acquiring other companies and technologies, including Avanta Orthopaedics, Envision Manufacturing, and Xtremi-T, to build a broad product line. Revenue was generated through the sale of these medical devices to surgeons and healthcare facilities globally, with products marketed in over 35 countries. A significant milestone was the company's Series B financing round, which raised $42.2 million, noted as the largest venture capital funding in orthopedic history at the time. Another key achievement was securing FDA approval for its Scandinavian Total Ankle Replacement (STAR Ankle) system. By 2013, the company had sales of approximately $48 million.

The company's flagship product was the STAR Ankle, a cementless, three-piece total ankle replacement system. This product was a key asset, being the most published total ankle replacement product globally and sold in over 40 countries. SBi's portfolio also included a wide range of other implants and instruments for the hand, wrist, elbow, and foot. This included products for basal joint arthritis, the Elektra prosthesis for trapeziometacarpal osteoarthritis, the rHead Plating System for radial fractures, and external fixation technology aimed at limb salvation for conditions like diabetic Charcot foot. The company also developed the Artelon biomaterial technology for soft tissue applications, particularly in the thumb. A core part of their offering was the 'precise guidance technology,' an instrument system designed to ensure repeatable and consistent implant placement.

In a significant market event, the assets of Small Bone Innovations were acquired by Stryker Corporation in June 2014 for up to $375 million in an all-cash transaction. This acquisition provided Stryker with SBi's robust product portfolio, most notably the STAR Ankle, filling a gap in Stryker's offerings and strengthening its position in the rapidly growing extremities market. At the time of the acquisition, SBi was headquartered in Morrisville, Pennsylvania, with facilities in France and Germany.