Stryker has recently agreed to sell its US spinal implants business to the Viscogliosi Brothers and the newly formed company will be VB Spine.
This move is expected to enable its major competitors to strengthen their position in the US spinal fusion market, which was worth an estimated $5.7 billion in 2024 and is expected to reach $6.7 billion in 2034 with a compound annual growth rate (CAGR) of 1.64%, according to data and analytics company, GlobalData.
Stryker occupies a relatively small portion of the US spinal fusion market, making up approximately 9.1%, and has experienced relatively slow growth since its entry into the market. Conversely, major players such as Medtronic and Globus Medical cover 37.5% and 23.9%, respectively.
Aidan Robertson, Medical Analyst at GlobalData, comments: “The sale decision appears to be the logical next step when considering Stryker’s performance in this market, and in the long term, it may prove beneficial for the company as it continues to focus on interventional spine products. While Stryker does not cover a large section of the market, its competitors are expected to use this opportunity to grow their influence towards what was previously Stryker’s section of the space, which could pose challenges for VB Spine going forward.”
The spinal fusion market is expected to continue to grow due to increasing incidences of spinal disorders in combination with advancements in surgical navigation and imaging technologies, which allow for better surgical precision and better patient outcomes. Additionally, the potential patient pool for these types of procedures will likely increase because of the aging population. The limiting factor to the growth is the high cost of treatment; however, as advancements continue in this field, that may become less of a barrier.
Robertson concludes: “As the spinal fusion market continues to expand, Stryker’s latest sale of the US spinal implants business poses a significant growth opportunity for the other major players, and we may see certain moves by those companies as they attempt to strengthen their positions in the future.”
Source: GlobalData
Image: Canva
