We are pleased to announce that we have closed our 35th successful transaction in the field of orthopedic medical technology. Medical Capital Advisors, LLC served as Exclusive Investment Banking Advisor to Orthomimetics in its sale to TiGenix for US $23,413,000 in transaction consideration. We entered into this process with a distinct advantage: while we focus on medical devices, we are a world leader in orthopedics transactions, having completed over thirty-five in recent history. Some of those transactions are the most notable in the annals of medical technology. As a result, we understand what it takes for an orthopedic company to succeed in its exit, we understand the intellectual property, the clinical data, the surgical procedures, the biology. We know all the strategic partners and the key investors in the sector. In short, we know the markets better than anyone else. This is our hallmark: Singular Focus, Deep Insight, Successful Transactions.


Leuven, Belgium – November 16, 2009, TiGenix strengthens its product portfolio and biomaterials platform through the acquisition of Orthomimetics, a privately held medical technology company based in Cambridge, the United Kingdom. This acquisition fits with TiGenix’ growth strategy of becoming a leading player in the promising and fast-growing field of regenerative medicine.

Orthomimetics was founded in 2005 as a spin-out from the University of Cambridge and the Massachusetts Institute of Technology (MIT). Its products are based on a leading collagen biomaterials platform for the production of scaffolds for cartilage, meniscus, ligament and tendon repair.

Orthomimetics’ flagship product, Chondromimetic™, is an off-the-shelf, resorbable implant for the minimally invasive repair of small osteochondral (cartilage and underlying bone) defects. The product has received European market approval (CE-Mark approval) and is close to entering the European market. Small osteochondral defects represent an important medical need that is currently not covered by TiGenix’ products. Chondromimetic™ forms an excellent fit with TiGenix’ lead product, ChondroCelect®, since both products target the same customer base in complementary indications.

Under the terms of the acquisition, TiGenix will issue about 3.7 million new shares as consideration for the purchase of all outstanding shares of Orthomimetics. This values Orthomimetics at EUR 16 million (USD 23.8 million) on a debt and cash free basis. The new shares will be admitted to trading on the NYSE Euronext Brussels. The Orthomimetics shareholders agreed to a lock-up period until 31 October 2010 that could be lifted earlier with the prior written consent of TiGenix.

“This consolidation represents a natural extension of our core business strategy to provide the best regenerative medicine solutions to orthopaedic surgeons worldwide. The synergies between Chondromimetic™ and ChondroCelect® allow us to leverage our existing European infrastructure and commercial capabilities, and provide the opportunity to increase our near-term revenue growth with limited impact on our cash needs” comments Gil Beyen, CEO of TiGenix “The combination of these advantages and our expertise in developing cell-based therapeutic products creates a unique platform from which innovative future combination products can be developed.”

Commenting on the strategic fit between the companies, Andrew Lynn, CEO of Orthomimetics said: “The ability to equip a single sales force with two approved products that have the same point of sale is a clear and immediate commercial benefit.” Lynn, who will assume lead business-development responsibilities at TiGenix as Chief Business Officer.

Officer, went on to add: “By bringing together key expertise and market-ready products based on cells, biomaterials and minimally invasive delivery systems, TiGenix has put itself in a strong position to drive the market uptake of regenerative medical treatments in orthopaedics. It is an honour for all of us at Orthomimetics to become part of this innovative and exciting effort.” Gil Beyen, Chief Executive Officer.

TiGenix NV, Romeinse Straat 12 Bus 2
3001 Leuven, Belgium 0471.340.123
Tel +32 (16) 39 60 60