Simbionix, an Israeli surgical simulation company, has been sold to Surgical Science Sweden for $305 million. Simbionix’s current owners who just sold the company, U.S. 3D printer manufacturer 3D System, acquired the company in 2014 for $120 million.
Simbionix’s sale is expected to be completed in August 2021, after which it’ll become part of Surgical Science, a firm listed on the Nasdaq First North Growth Market, with reported annual revenue of $41 million.
Simbonix was founded in 1997 by Gary Zamler, Ran Bronstein, and Boaz Tal. With an R&D center in Israel’s Airport City, Simbionix has pioneered patient-specific simulation with FDA-cleared solutions that are changing the way preparation for individual surgeries is carried out. Its proprietary simulation and training products are revolutionizing the way physicians practice and master surgical procedures with improved learning that can favorably impact patient outcomes.
Leveraging the company’s software, users are now able to convert medical images into 3D models, which can be explored and manipulated in a VR environment. Such simulation technologies are increasingly finding medical training applications, alongside more traditional uses of 3D printing, such as creating anatomically relevant patient models.
Simbionix offers a broad portfolio of medical devices and simulators for fields like general surgery, endovascular procedures, endoscopy, urology, orthopedics, ultrasound, and robotic surgery. The company will be integrated with Surgical Science to form what they are calling a “market-leading company in the simulation of medical procedures, including advanced robotic surgery.”
Simbionix reported revenue of $40.8 million in 2020.
“Over the last several months, 3D Systems has divested a number of assets that are not core to our industry-leading additive manufacturing solutions business,” said Dr. Jeffrey Graves, President and CEO of 3D Systems. “The final of these is our Simbionix business, under the leadership of Ran Bronstein, which has secured a strong position in the medical simulation, training and robotic surgery market.”
“This acquisition should be viewed as a merger of two leading players to accelerate the ability to deliver the next generation simulation solutions for patient safety and value to our customers. We have a great respect for Simbionix’s know-how and look forward to this important step in the consolidation of our growing niche market”, says Gisli Hennermark, CEO, Surgical Science.”
“We are impressed by Surgical Science’s ability to execute on a clear strategy and look forward to joining the team and playing a large part in its future. With Simbionix’s leadership position in the medical simulation field, I see great opportunity in delivering excellent value to both medical technology companies as well as educational customers with Surgical Science”, Ran Bronstein, Chief Research & Operation Officer, 3D Systems Healthcare.
Surgical Science is a leading supplier of virtual reality simulators for medical training. Their simulators for laparoscopy and endoscopy are used by medical training centers and institutes worldwide for practice, validation and certification of students, surgeons, and medical doctors.