Andover Medical Inc. has responded to the fact that orthopedics, urology and podiatry are among the fastest growing segments in healthcare products and services. The baby-boomer and the graying of the population with the increase in the active physical lifestyle of seniors, among other factors, play key roles in this growth.
The U.S. durable medical equipment for orthopedics product market is estimated to be a $1.02 billion dollar industry. It is probable that 10 percent of all patients seen by the 2,700 orthopedic clinics require a prescription of durable medical equipment products. The $16 billion podiatry industry is served by 14,000 podiatrists. The durable medical equipment market in incontinence product market now exceeds $2 billion and is expected to grow rapidly based both on the size of the senior population and its desire for a better quality of life.
ADOV plans to attack both of these markets with the strength afforded by group pricing, group billing and experienced management and ultimately a nationally recognized brand name!
Boomeritis is Good for Business!
Boomeritis has become a recognizable term in the medical industry and it afflicts the country’s 78 million baby boomers born between 1946 and 1964. This generation that’s trying to stay active on an aging frame.
Boomeritis has become a recognizable term in the medical industry and it afflicts the country’s 78 million baby boomers born between 1946 and 1964. This generation that’s trying to stay active on an aging frame.The Boomeritis phenomenon stretches far beyond the physical pain of a mass of people. Boomeritis brings with it the potential for huge financial gain for select industries – and the durable medical equipment business is front and center.
The oldest of the nation’s boomers just passed 60, and, in the next 18 years, the remaining masses will cross that threshold. Boomers are running, playing tennis and pursuing other pet pastimes – all on musculo- skeletal systems that aren’t what they used to be.
And the consequence is a trip to the orthopedists’ offices with pain and strain in knees, hips and shoulders. Mostly, the culprit is osteoarthritis, or the gradual wearing down of joints.
Dr. David Martin, a professor of orthopedic surgery at Wake Forest University Baptist Medical Center recently shared his view on Boomeritis: “What we’re seeing now is just the tip of the iceberg. We’re probably 20 years down the line from the exercise-sports activity explosion,” Martin said. “Worn-out joints will be a huge problem.”
Boomeritis also encompasses the many exercisers who are overweight. Extra pounds on an aging frame can compound the problem, Martin said.
Treatments for osteoarthritis range from rest to joint replacement. The latter includes total replacement and revision, or “re-do,” surgery.
The orthopedic community – surgeons, physical therapists, sports-medicine trainers and others – is abuzz about Boomeritis and its implications. “Musculoskeletal care is now the No. 1 reason for physician visits, and represents 14 percent of health-care spending,” Laudicina said.
A 2007 study in The Journal of Bone and Joint Surgery projected a 673 percent growth in demand for total knee-replacement surgery by 2030.
The other side to these dire projections, however, are the commercial opportunities that Boomeritis is bringing to certain sectors.
The orthopedic-device industry – companies that make and sell implants, knee-and shoulder-reconstruction materials and other products – is reporting dazzling profits.
Brian Wong, an analyst at First Albany Capital in Chicago, said: “I’ve heard it described as the ‘elephant in the anaconda’ – this big bulge of baby boomers moving through the system. That’s probably the big driver of this whole orthopedic sector.”
Stryker Corp. in Michigan, along with Smith & Nephew, a British company, are among five or so of public companies that lead in this $23 billion segment. Stryker’s recent first-quarter net income reflected a hefty 65 percent increase over the previous year, helped by sales of hospital equipment and orthopedic implants.
Makers of nonsurgical braces are also seeing substantial growth, Wong said.
The CEO of Andover Medical responded, “Boomeritis is actually a medical term now with recognizable implications. Andover Medical intends to capitalize on this phenomena by rolling up the durable medical equipment business that supports the orthopedic industry – for now. We will target other industries in the future as well!”
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Source: ADOV
Ed Reilly – Chief Executive Officer
Andover Medical, Inc.
510 Turnpike Street
Ste 204
N. Andover, MA 01845
978-557-1001 x 11
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical facts included in this press release are forward-looking statements. These forward looking statements include Andover’s intent to establish a nationwide subsidiary network and plans to offer physicians the largest selection of competitively priced brand-name durable medical equipment, and urodynamic diagnostic and treatment products. All forward-looking statements speak only as of the date of this press release. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, achievements or transactions of AMI and its affiliates to be materially different from any future results, performance, achievements or transactions expressed or implied by such forward-looking statements. Such risks, uncertainties and other factors which, could impact the Company and the forward-looking statements contained herein are included in the Company’s filings with the Securities and Exchange Commission. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
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