Zeda, the San Francisco-based provider of advanced manufacturing solutions, announced that it has acquired The Orthopedic Implant Company (OIC), a medical device manufacturer based in Reno, Nevada, for an undisclosed amount. OIC’s business model prioritizes patient-affordability, a philosophy the company sums up with the tagline, “Premium quality implants at generic prices.”
OIC will now operate as The Orthopedic Implant Company, a Zeda Health Company. Zeda itself emerged from the combination of PrinterPrezz, a Silicon Valley startup using metal additive manufacturing (AM) to print a broad range of medical devices, and Vertex, a Cincinnati-based machining shop with expertise in advanced manufacturing techniques. PrinterPrezz acquired Vertex in October 2021, with the combined companies rebranding as Zeda in early 2023.
At the end of 2023, Zeda opened a new 75,000 square foot facility in Cincinnati, supporting the company’s growth strategy whereby it now operates with two main overlapping divisions, Zeda Health and Zeda Technologies. The latter division is focused on sectors like aerospace and defense, which must meet regulatory demands with similar stringency to the medical device space. The Cincinnati facility is loaded with metal printers from companies like Velo3D, AddUp, and GE Additive, along with other advanced manufacturing equipment like wire electrical discharge machines.
In a press release about the acquisition, Zeda CEO Shri Shetty said, “The acquisition of OIC represents a pivotal moment for Zeda. Its leadership in value-based implants perfectly complements our [AM] technologies that can deliver high quality orthopedic devices and implants that are accessible to all patients, regardless of country and socioeconomic status. Together, our strengths and expertise will raise the standard of care globally and equitably for the world’s entire population.”
The CEO and co-founder of The Orthopedic Implant Company, Itai Nemovicher, said, “We are proud to join forces with Zeda, a company that shares in our values and dedication to advancing access to critical orthopedic care because it can and should be done. Under Zeda, OIC will reach new heights in providing cost-effective, high-quality orthopedic solutions in the US and abroad.”
The acquisition of OIC would seem to make sense for Zeda in any case, but it is a particularly logical move in the context of the company’s transition into the next phase of its expansion plans. It’s possible that the role of OIC in the overall Zeda portfolio will be to gradually take over more and more responsibility for the management of Zeda Health, as a whole.
That would allow each component of the overall company to focus on what it does best, giving Zeda’s C-suite the ability to continue pushing forward with the long-term growth strategy. This is viable precisely because the company has now pivoted towards being a full-service advanced manufacturing provider, meaning Zeda has established a foundation that enables it to make further acquisitions.
The more that industry insiders persist in their focus on consolidation, the more attention should be paid to which market segments within AM are driving consolidation. Zeda, for instance, is one of many examples illustrating that service providers may be in a better position to push consolidation forward than original equipment manufacturers (OEMs).
Images courtesy of Zeda