SAN DIEGO and TAMPA, Fla., April 10, 2024 /PRNewswire/ — HealthpointCapital, the leading private equity firm focused exclusively on musculoskeletal healthcare, today announced the acquisition of a majority stake in SteriCUBE Holdings, Inc. (“SteriCUBE” or the “Company”).
The SteriCUBE® Multiple Tray Sterilization (MTS) System is a patented, environmentally friendly technology for simultaneous sterilization of instrument-holding trays. These trays are utilized to organize and protect the numerous instruments required in common orthopaedic and cardiac surgeries.
For over 75 years, hospitals have wrapped sterilized instrument trays with polypropylene and paper material, commonly known as “blue wrap,” to maintain a barrier from the outside air. Each tray is hand-wrapped with two layers, generally utilizing 18 to 32 square feet of material. Multiple trays are required per surgery, and the disposable wraps are discarded after a single use, accounting for 20% of all operating room waste, or an estimated 255 million pounds annually.1 Blue wrap is also susceptible to perforations that render the encased instruments dangerously unsterile. When perforations are found, estimated to more than 10% of the time, surgical cases are routinely delayed at significant cost.
Instead of individually wrapping trays with disposable blue wrap, the SteriCUBE® system utilizes a single, filtered metal container to store all trays for a surgical case and allow simultaneous sterilization. By eliminating blue wrap, SteriCUBE® negates perforation concerns, drives substantial cost savings, reduces bio-hazardous waste, and significantly improves workflow efficiency of the daily sterilization processes within the world’s hospitals.
The SteriCUBE® technology is covered by over 20 patents in the US and internationally, with additional patent applications pending. The system is FDA-cleared in the U.S. for both on-site and off-site sterilization, including transport, thus making it suitable for Ambulatory Surgical Centers lacking on-site sterilizers.
Commenting on the announcement, Mike Mogul, HealthpointCapital’s Managing Partner, said: “More than four million heavily instrumented orthopedic and cardiac surgeries take place in the U.S. annually, each served by 8-12 instrument trays. The inefficiencies, costs and risks associated with the sterilization of these trays are staggering. SteriCUBE® delivers improved through-put and substantial cost savings to facilities as well as significant environmental benefits and, most importantly, increased patient safety.”
Simultaneous with the closing of the transaction, HealthpointCapital is bringing in a new leadership team into SteriCUBE. Chief Executive Officer Chris Whitmore will lead SteriCUBE after more than 20 years in general management, business transformation, sales and marketing, and service operations roles in Stryker’s Communications, Global Services and ProCare divisions. Chris added: “Every day, the sterilization and processing departments of hospitals handle some of the healthcare system’s most critical tasks. SteriCUBE® dramatically improves instrument tray sterilization workflow for all stakeholders, and we are excited to continue expanding the reach of this impactful technology.”
Transaction details were not disclosed. Schulte, Roth & Zabel LLP and Knobbe Martens Olson & Bear LLP provided legal counsel to HealthpointCapital.
About HealthpointCapital
Founded in 2002, HealthpointCapital is the leading private equity firm focused exclusively on the musculoskeletal sector. The Firm is led by Managing Partners John H. Foster and Mike Mogul. HealthpointCapital brings together extensive medical device operating experience, a strong private equity track record, and an extensive network of clinical, distributor and strategic company relationships to help portfolio companies accelerate growth. Notable exits for HealthpointCapital include CrossRoads Extremity Systems (acquired by Johnson & Johnson DepuySynthes), OrthoSpace (acquired by Stryker), Blue Belt Technologies (acquired by Smith+Nephew) and BioHorizons (acquired by Henry Schein).
For additional information, visit www.healthpointcapital.com.
About SteriCUBE®
SteriCUBE® Multiple Tray Sterilization (MTS) System is a multi-patented, environmentally friendly technology for simultaneous sterilization of instrument trays that eliminates the need for “blue wraps” and resultant bio-hazardous waste. After processing, the SteriCUBE® system can be rolled directly to the operating room with “surgery-ready” instruments without delay or stored up to 30 days without contamination. MTS delivers increased patient safety, improved productivity, and substantial cost savings to healthcare facilities.
For additional information, visit https://theSteriCUBE.com
For investor or media inquiries, please contact: Tessa Cicitta, HealthpointCapital, 212-935-7780 or [email protected]
1 SOURCE: Blue Wrap Recycling – HealthTrust – Performance Improvement For Healthcare (healthtrustpg.com)
SOURCE HealthpointCapital
