Category Archives: Manufacturers info

EndoChoice Starts 2013 with Merger, German Acquisition

The Alpharetta firm closed on $43 million, merged with Peer Medical Ltd., and then bought a German endoscope manufacturer.

A few days after Alpharetta-based EndoChoice Inc. closed a $43 million fund-raising round, and was part of a merger, it has announced the company has acquired RMS Endoskopie-Technik, an endoscope manufacturer headquartered in Elmshorn, Germany near Hamburg.

EndoChoice is a platform-technology company focused on gastrointestinal (GI) endoscopy. RMS was founded in 1995 and develops, manufactures and repairs video endoscopes.

RMS is aggressively recruiting experienced engineers and technicians to support substantial expansion in the coming months.

“We are very proud and pleased to join with EndoChoice, which is one of the fastest growing medtech companies in the world,” said Stephan Wieth, president of RMS, in a release from MarketWire. “EndoChoice shares our commitment to customer satisfaction, and we admire their achievements. RMS brings excellence in precision engineering and manufacturing, and EndoChoice understands executing on commercialization strategies, so this is a perfect match-up of skill and talent.”

“German products are known for mechanical and engineering excellence, and RMS exemplifies these qualities,” said Mark Gilreath, Founder & CEO of EndoChoice. “This strategic acquisition supports EndoChoice’s platform approach and strongly positions EndoChoice for continued success.”

EndoChoice Raises Funds, Merges with Peer Medical Ltd.

EndoChoice announced on Jan. 4 that it had closed a $43 million fund-raising round led by Sequoia Capital and its existing investors. It also merged with Peer Medical Ltd., creators of the innovative Full Spectrum Endoscopy™ system. The combined company now operates under the EndoChoice name.

“Stephan and his highly experienced team have created a world-class endoscope manufacturing facility. The Full Spectrum Endoscope™ is the biggest innovation in endoscopy in decades and it will be manufactured at RMS,” Gilreath added. “The addition of the RMS team also bolsters our existing endoscope service and repair business by expanding our global reach.”

The Full Spectrum Endoscope™ is not yet available for sale, although it has received a CE Mark, ISO 13475 certification and FDA 510(k) clearance.

EndoChoice Acquires German Scope Manufacturer

ALPHARETTA, Ga.—EndoChoice, Inc., a platform-technology company focused on gastrointestinal (GI) endoscopy, announced today that it has acquired RMS Endoskopie-Technik, an endoscope manufacturer headquartered in Elmshorn, Germany, near Hamburg.

RMS was founded in 1995 and develops, manufactures and repairs video endoscopes. Certified for ISO 13485:2003 standards, the products manufactured by RMS have earned a reputation for outstanding imaging quality and durability. RMS is aggressively recruiting experienced engineers and technicians to support substantial expansion in the coming months.

“We are very proud and pleased to join with EndoChoice, which is one of the fastest growing medtech companies in the world,” said Stephan Wieth, President of RMS. “EndoChoice shares our commitment to customer satisfaction, and we admire their achievements. RMS brings excellence in precision engineering and manufacturing, and EndoChoice understands executing on commercialization strategies, so this is a perfect match-up of skill and talent.”

“German products are known for mechanical and engineering excellence, and RMS exemplifies these qualities,” said Mark Gilreath, founder and CEO of EndoChoice. “This strategic acquisition supports EndoChoice’s platform approach and strongly positions EndoChoice for continued success.”

The acquisition follows a Jan. 4, 2013 announcement that EndoChoice closed a $43 million fund-raising round led by Sequoia Capital and its existing investors, and merged with Peer Medical Ltd., creators of the innovative Full Spectrum Endoscopy™ system. The combined company now operates under the EndoChoice name.

“Stephan and his highly experienced team have created a world-class endoscope manufacturing facility. The Full Spectrum Endoscope™ is the biggest innovation in endoscopy in decades and it will be manufactured at RMS,” Gilreath added. “The addition of the RMS team also bolsters our existing endoscope service and repair business by expanding our global reach.”

The Full Spectrum Endoscope is not yet available for sale, although it has received a CE Mark, ISO 13475 certification and FDA 510(k) clearance.

Frost & Sullivan: Minimally Invasive Approach Boosts Demand for Endoscopy Devices in Australia, South Korea and Southeast Asia

Faster recovery times, better prognosis, and higher awareness among physicians and patients have been the foremost drivers of endoscopy in diagnosis and surgical disciplines in Australia, South Korea and Southeast Asia. The prevalence of non-communicable diseases in the region further necessitates the need for intervention using endoscopy.

New analysis from Frost & Sullivan (http://www.medtech.frost.com), Analysis of the Endoscopy Devices Market in Australia, South Korea, and Southeast Asia, finds that the market earned revenues of US$264.7 million in 2012 and estimates this to reach US$408.3 million in 2017. By application, gastrointestinal endoscopy and laparoscopy remain the most popular segments. The neuroendoscopy and ear-nose-throat (ENT) segments also present immense growth opportunities.

The use of out-patient or short in-patient endoscopy procedures is rising to deal with issues such as the lack of hospital beds, workforce and infrastructure to handle escalating in-patient admissions.

“Changes in lifestyle coupled with the increasing elderly population cohort in Australia, South Korea and Southeast Asia have led to a significant rise in non-communicable diseases such as gastrointestinal disorders, colorectal cancer, lung cancer, and orthopedic conditions,” said Frost & Sullivan Healthcare Consultant Poornima Srinivasan.

“Therefore, endoscopic devices are gaining acceptance as they are minimally invasive, leading to shorter procedural and faster recovery times,” she added.

Moreover, the steady inflow of medical tourists in Thailand and Malaysia widens the scope of the endoscopy device market as hospitals look to enhance their capabilities. While developed countries are leveraging their expertise to perform advanced endoscopic procedures, markets in emerging countries such as Indonesia, Philippines and Vietnam are also gaining ground being early adopters of endoscopic techniques.

However, the number of procedures conducted remains limited due to the lack of infrastructure and specialists. In fact, only 10 to 20 per cent of the surgeons in each surgical specialty have the expertise to perform endoscopic procedures. Hence, organising hands-on training workshops through sponsorships and donations will be crucial.

“Endoscopic device manufacturers must also consider partnering with university hospitals or private hospitals to provide infrastructure and guidance on endoscopic techniques,” noted Srinivasan. “Offering after-sales services will enhance customer loyalty and lead to repeat orders.”

Upcoming hospitals and favorable insurance will ensure the steady expansion of the endoscopy market in Australia, South Korea and Southeast Asia.

If you are interested in more information on this research, please send an e-mail to Donna Jeremiah, Corporate Communications, at djeremiah@frost.com, with your full name, company name, job title, telephone number, company e-mail address, company website, city, state and country.

Analysis of the Endoscopy Devices Market in Australia, South Korea, and Southeast Asia is part of the Advanced Medical Technologies Growth Partnership Service program. Frost & Sullivan’s related research services include: Wound Care and Wound Closure Market in Asia-Pacific, US Neurovascular Intervention Market, and 2013 Global Medical Devices Outlook. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

Endoscope Damage: A Review of the Medical Literature

Initial comments: This blog, written by Lawrence F Muscarella, PhD, discusses whether 2% glutaraldehyde formulations and peracetic acid solutions, either of which may be used to achieve high-level disinfection, might cause damage of immersed flexible endoscopes. In addition, this blog is based on a more comprehensive article that may be read by clicking here. Recommendations are provided herein.

BACKGROUND: Entitled “Endoscope Damage, Part 1,” the first blog in this series of two focuses on the potential for endoscope damage associated with the use of peracetic acid and other types of liquid chemical disinfectants.1-7 Peracetic acid and aldehyde-based disinfectants, such as 2% glutaraldehyde (e.g., Cidex) and ortho-phthalaldehyde (e.g., Metricide OPA Plus), are commonly used to reprocess flexible endoscopes after each use, in accordance with Standard Precautions, to prevent the transmission of infectious agents. This blog herein completes this discussion about endoscope damage. A more detailed article upon which this blog is based may be read by clicking here.

INTRODUCTION: A liquid oxidizing agent that is chemically distinct from aldehyde-based disinfectants, peracetic acid is the active ingredient used by both the Steris System 1 and the Steris Reliance Endoscope Processing System (EPS), at the same concentration (0.2%) and elevated immersion temperature (50—56o C) (but at slightly different immersion times).2,6 Whether endoscope damage acknowledged to be associated with the System 1 may, therefore, also be associated with the Reliance EPS is unclear, although the possibility is discussed in an evaluation of the Reliance EPS authored by the ECRI Institute (“ECRI”).2

Whereas the Reliance EPS is labeled to supplement manual cleaning and both to wash and high-level disinfect gastrointestinal (GI) endoscopes, the Steris System 1 is labeled to “sterilize” several different types of instruments, including GI endoscopes.2 Having been declared last May (2008) to be “adulterated and misbranded” since 1988, the sale of the Steris System 1 in January (2009) became restricted.8,9 (Note: The author of this blog is currently employed by a manufacturer of an automated endoscope reprocessor that is labeled to wash and high-level disinfect GI endoscopes.)

The misbranding of the Steris System 1, its countenanced use in the U.S. despite its discontinuation, and the lack of published position statements by infection-control organizations contraindicating the use of adulterated and misbranded devices in the healthcare setting will be discussed in a future issue of this newsletter. (The author of this article about endoscope damage is employed by the manufacturer of an automated endoscope reprocessor that, like the Reliance EPS, is labeled to wash and disinfect GI endoscopes.)

Dassault’s Manufacturing Solution Selected by Singapore Endoscope Manufacturer

Earlier this year, French 3-D technology and product lifecycle management company Dassault Systèmes unveiled a new electronic initiative aimed at helping medtech firms create fully-traceable, compliant product development processes that can expedite time to market and minimize regulatory overhead. The “Licensed to Cure” initiative has now been selected by Olympus Technologies Singapore Pte. Ltd., an endoscope manufacturer, for the development of its medical devices. Olympus has standard operating procedures already in place for developing engineering and software system documentation for its medical device manufacturing. Licensed to Cure is hoped to help them simplify those procedures by providing a single source of information to always get relevant, up-to-date information and establish true collaboration with the same, accurate set of product data. “Dassault Systèmes’ 3DEXPERIENCE platform gives us centralized control and management of all product lifecycle information, enabling real time sharing and collaboration for all functions,” said Lim HN, managing director of Olympus Technologies Singapore. “Being able to combine engineering, quality, and regulatory compliance business processes, we have moved closer towards becoming the R&D and manufacturing center of choice for our customers.” “The shifting financial, regulatory and globalization landscapes faced by medical devices manufacturers really call for a comprehensive business experience that can keep up with complexity, lower cost, quality, and compliance at once,” said Monica Menghini, executive vice president of industry and marketing at Dassault. “Our new Licensed to Cure industry solution experience is exactly meeting this challenge by allowing companies like Olympus Technologies Singapore to manage their business objectives in a complex regulatory environment while meeting consumers’ expectations for safe products.” At the system’s launch on Oct. 2 during AdvaMed’s annual conference this year in Boston, Mass., Dassault’s Vice President of Life Sciences Jean Colombel said, “This solution ensures that the information is the most up-to-date. Suppose you decide to change something like the size of a piece of tubing, from 3 centimeters to 2 centimeters. This solution ensures that everyone knows about that change. The supplier would be aware of it immediately rather than at the end of the development cycle.” -

US Endoscope Service Market to Reach Value of $925 Million by 2021

According to Millennium Research Group (MRG), the global authority on medical technology market intelligence, revenues for endoscope service will grow moderately in the United States through 2021. Due to the capital budget constraints faced by many facilities and the fragile nature of advanced endoscopes, it is generally more cost-effective for facilities to have their endoscopes serviced rather than to replace them completely with new systems. Original equipment manufacturers (OEMs) compete with third-party vendors for endoscope service business. While third-party servicers have become increasingly competitive, revenues generated by OEMs will continue to grow slightly faster. Some of the strategic advantages for OEMs include the funding to engage in national marketing efforts, having proprietary parts and offering a wide breadth of service and payment programs. Marketing campaigns from OEMs such as Olympus and Stryker highlight the advantages of OEM endoscope repair and the potential risks of third-party repairs. For example, OEMs have access to the exact parts and service manuals for their endoscopes, which facilities value, particularly for new endoscopes. OEMs are also able to negotiate service contracts when new endoscope purchases are made; this is something that third-party vendors cannot do. “Even though OEMs have generally dominated in this market, third-party vendors have made a number of strides to better compete as well,” said MRG Senior Analyst Lexie Code. “In particular, acquisitions between third-party vendors have given them wider service networks and larger budgets so that they can compete with OEMs for high-value group purchasing organization (GPO) service contracts.” Overall, however, OEMs will continue to be the preferred endoscope service companies in the US through 2021, and the expensive nature of repairs by these companies will continue to fuel revenue expansion in the endoscope service market.