Wall Street Journal Features Orthofix's Innovative Ortho-Trac System for Back Pain
BY JOHN MCCORMICK, FEBRUARY 2, 2004
It seems that rising orthopedic valuations on Wall Street are not the only voice hailing the "Decade of Orthopedics." The Wall Street Journal got into the act last Tuesday by writing a positive piece on one of the more interesting new advancements in the treatment of back pain. Affecting upwards of 75 million patients annually, back pain is the second most common reason patients visit their physician (the first is respiratory disease). But instead of featuring the growth of spinal implant revenues or the coming wave of disc arthroplasty products, the Journal chose to focus on a non-invasive therapy, Orthofix's OrthoTrac® pneumatic back brace. Ortho-Trac®, which was acquired by Orthofix in 2000 from Kinesis Medical, a small Minnesota based start up company, is a revolutionary non-invasive method for relieving disogenic or chronic low back pain by off loading up to 30-50% of the load from the back to the iliac crest. It has demonstrated its effectiveness in a wide variety of patients suffering from discogenic pain, chronic low back pain and even post-surgical back pain. Orthotrac® is one of Orthofix's fastest growing product lines.
We think the underlying message of the Journal article is consistent with our own insights regarding the sports medicine and bracing markets. Innovations and recent product introductions in bracing are leading to improved patient outcomes by delivering pre-operative and post-operative therapy, not simple bracing. Orthofix's recent acquisition of bracing supplier BREG, not to mention dj Orthopedics' recent acquisition of Orthologic's bone stimulation business, bear this trend out, we think. BREG, for example, is a well known innovator of pain therapy devices as well as traditional bracing. Likewise, the bone stimulation business offers faster, more certain post-operative healing for patients. As the journal made clear, advancements in bracing technology are trending toward more value added features that function to reduce or better manage pre- and post-surgical pain and healing.
