Established in 2003, Osteopore utilises its proprietary 3D printing process to manufacture customisable bioresorbable 3D scaffolds with biomimetic microstructure to create a cell-friendly environment that facilitates natural bone regeneration and can be custom made to suit patients after injury or surgery. After the bone is healed, the 3D structure dissolves into carbon dioxide and water.
Raised $5.25 million before costs on the issue of 26,250,000 fully paid ordinary shares at $0.20per share to institutional, high net worth and sophisticated investors.
Osteopore is commercialising a range of patented 3D-printed scaffolds used for the regeneration of bone across several therapeutic areas.
Osteopore currently has three primary products in market – Osteoplug, Osteomesh and Osteostrip – which have received FDA (US) and CE Mark (EU) certification and are being sold to hospitals worldwide.
To date, Osteopore’s products have been successfully used in over 20,000 surgical procedures and contributed to a year-on-year revenue increase since 2016.
Osteopore last year declared a $S870,249 ($930,000) loss on $S934,878 (A$990,000) in revenue, half of which came from South Korea and a third from Vietnam.
"It's a very high margin opportunity," Mr Pocock said.
Osteopore have a strong advisory team which includes ResMed (ASX: RMD) chief financial officer Brett Sandercock, who has joined the board as its non-executive chairman.
Its growth strategy is to become a world-leading producer of pioneering 3D-printed medical implants engineered to stimulate and facilitate natural tissue regeneration.
The scaffolds are made from proprietary polymer formulations which naturally dissolve overtime to leave only healthy bone tissue. They are reported to significantly reduce post-surgery complications commonly associated with permanent bone implants.
This technology has proven to surpass the limits of bone grafting and has been used in more than 20,000 surgeries, with no post-surgery complication rates traditionally associated with long term permanent bone implants.
"We're not raising money to do more research, this is raising money to go and build revenue streams and build that commercialisation pathway. It's a lot more advanced than a lot of the sorts of things that come across ASX investors."
"The company already has FDA and other approvals, it's generating revenue, but still has these massive untapped opportunities."
With the FDA's approval alongside Europe's CE Marking, Osteopore is ahead of most small cap biotech and medtech companies on the ASX, many of whom are either still in clinical trials or attempting to have their products approved by regulatory bodies.
Osteopore, which is also developing implants for dental and orthopaedic leg, arm and spinal surgery, plans to use money from the IPO to increase sales to the US, Europe, China and Australia.
The funds raised from the ASX IPO are used to further promote Osteoplug, Osteomesh and Osteostrip products in established and emerging international markets, while developing new growth opportunities leveraging its expertise in regenerative medicine and medical polymers.