Medical & Dental Adhesives & Sealants

CLICK TO VIEW INDUSTRY MARKET RESEARCH FOR BUSINESS LEADERS, STRATEGISTS, DECISION-MAKERS Table of Contents 2 List of Tables & Charts 3 Study Overview 4 Sample Text, Table & Chart 5 Sample Profile, Table & Chart 6 Order Form 7 About Freedonia, Custom Research, Related Studies, Corporate Use License 8 Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 Study #2201 | May 2007 | $4400 | 216 pages Study #2201 May 2007 $4400 216 Pages Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 Table of Contents ExEcutivE Summary markEt EnvironmEnt General .............................................4 Macroeconomic Overview ......................5 Demographic Patterns ..........................8 Health Care Trends ............................ 11 Medical Providers ........................... 12 Patient Activity ............................. 16 Surgical Procedures ........................ 17 Dental Procedures .......................... 20 National Health Expenditures ........... 22 Regulatory Trends ............................. 25 Competitive Products Overview............ 27 Historical Market Trends ..................... 31 Pricing Trends .................................. 33 Foreign Trade ................................... 37 World Medical & Dental Adhesives & Sealants Demand ......................... 39 ProDuctS General ........................................... 43 Synthetic Polymer Adhesives & Sealants ..................................... 45 Acrylic.......................................... 48 Cyanoacrylate ................................ 51 Types ........................................ 53 Producers & Products ................... 53 Silicone ........................................ 57 Polyethylene Glycol ........................ 59 Other Synthetic.............................. 61 Natural-Based Adhesives & Sealants ..................................... 63 Plasma & Protein ........................... 65 Collagen .................................... 68 Fibrin ........................................ 71 Albumin .................................... 75 Other Plasma & Protein-Based Adhesives & Sealants ................. 77 Other Natural Adhesives & Sealants .................................. 80 aPPLicationS General ........................................... 83 Medical Applications.......................... 86 Internal Medical............................. 87 Page 2 Cardiovascular ............................ 91 Bone ......................................... 94 Demand by Product................... 95 Demand by Procedure................ 98 Cranial..................................... 101 Pulmonary................................ 103 Abdominal ............................... 105 Other Internal .......................... 107 External Medical .......................... 109 Tissue Bonding ......................... 111 Prosthesis Attachment ............... 114 Other External .......................... 116 Dental Applications ......................... 118 Denture Bonding Agents................ 120 Pit & Fissure Sealants ................... 123 Restorative Adhesives ................... 125 Orthodontic Bonding Agents .......... 127 Luting Cements ............................ 128 Tray Adhesives ............................. 131 Dental Surgical Tissue Bonding....... 132 markEtS General ......................................... 133 Primary Care ................................... 135 Dental Offices ................................. 138 Consumer....................................... 140 inDuStry StructurE General ......................................... 143 Market Share .................................. 145 Baxter International .................... 148 Stryker ....................................... 148 DENTSPLY International ................ 149 Procter & Gamble ........................ 149 King Pharmaceuticals ................... 149 Other Leaders .............................. 149 Competitive Strategies ..................... 151 Acquisitions & Divestitures ............ 152 Licensing & Related Cooperative Agreements ............................... 154 Research & Development .................. 157 Marketing & Distribution .................. 160 Raw Materials & Manufacturing ......... 162 comPany ProfiLES Advanced Medical Solutions .............. 164 Allergan Incorporated ...................... 166 Angiotech Pharmaceuticals ............... 167 Baxter International ........................ 169 Biomet Incorporated ....................... 170 Competitive Technologies ................. 172 CryoLife Incorporated ...................... 173 CSL Limited .................................... 174 Danaher Corporation ........................ 175 Den-Mat Corporation ....................... 177 DENTSPLY International .................... 178 GC Corporation ............................... 180 GlaxoSmithKline plc ........................ 183 Haemacure Corporation .................... 184 HemCon Medical Technologies ........... 185 Henkel KGaA .................................. 187 Heraeus Holding GmbH .................... 188 Ivoclar Vivadent AG ......................... 190 Johnson & Johnson ......................... 192 King Pharmaceuticals ...................... 196 Orthovita Incorporated .................... 197 Pharming Group NV ......................... 199 Prestige Brands............................... 200 Procter & Gamble Company ............... 201 Protein Polymer Technologies............ 202 Smith & Nephew plc ........................ 203 Stryker Corporation ......................... 204 Synthes Incorporated ...................... 206 ThermoGenesis Corporation ............... 207 3M Company .................................. 209 Tyco International........................... 211 Other Companies Mentioned.............. 213 List of Tables/Charts ExEcutivE Summary 1 Summary Table..............................3 markEt EnvironmEnt 1 2 3 4 5 6 Macroeconomic Overview ................8 Population by Age Group .............. 11 Medical Providers ........................ 15 Patient Activity........................... 17 Surgical Procedures by Type .......... 20 Dental Patient Activity & Procedures ........................... 22 (continued on next page) Study #2201 May 2007 $4400 216 Pages Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 List of Tables/Charts (continued from previous page) 7 National Health Expenditures ........ 25 8 Wound Closures Demand ............... 30 9 Medical & Dental Adhesives & Sealants Market, 1996-2006 ....... 32 Cht Medical & Dental Adhesives & Sealants Demand per Capita, 1996-2006 .............................. 33 10 Selected Medical & Dental Adhesives & Sealants Pricing ...... 37 Cht World Medical & Dental Adhesives & Sealants Demand by Region, 2006....................... 42 ProDuctS 1 Medical & Dental Adhesives & Sealants Demand by Product ...... 44 2 Synthetic Polymer Medical & Dental Adhesives & Sealants Demand by Product & Application ........... 47 Cht Synthetic Polymer Medical & Dental Adhesives & Sealants Demand by Type, 2006 .............. 48 3 Acrylic Medical & Dental Adhesives & Sealants Demand .... 51 4 Cyanoacrylate Medical & Dental Adhesives & Sealants Demand .... 52 5 Silicone Medical & Dental Adhesives Demand .................... 59 6 Polyethylene Glycol Medical Sealants Demand ...................... 61 7 Other Synthetic Polymer Medical & Dental Adhesives & Sealants Demand ................... 63 8 Natural-Based Medical & Dental Adhesives & Sealants Demand by Product & Application ........... 65 9 Plasma & Protein-Based Medical & Dental Adhesives & Sealants Demand by Product ...... 67 Cht Plasma & Protein-Based Medical & Dental Adhesives & Sealants Demand by Product, 2006 .......... 68 10 Collagen Medical Sealants Demand . 71 11 Fibrin Medical & Dental Sealants Demand by Origin ..................... 75 Page 3 12 Albumin Medical Sealants Demand . 77 13 Other Plasma & Protein-Based Medical & Dental Adhesives & Sealants Demand ...................... 79 14 Other Natural Medical & Dental Adhesives & Sealants Demand by Product .............................. 82 aPPLicationS 1 Medical & Dental Adhesives & Sealants Demand by Application . 85 Cht Medical & Dental Adhesives & Sealants Demand by Application, 1996-2016 .............................. 85 2 Medical Applications for Adhesives & Sealants by Segment & Product ............... 87 3 Internal Medical Applications for Adhesives & Sealants by Segment & Product .............. 90 Cht Internal Medical Applications for Adhesives & Sealants, 2006 ....... 91 4 Cardiovascular Applications for Adhesives & Sealants ................ 94 5 Bone Applications for Adhesives & Sealants ................ 95 6 Bone Applications for Adhesives & Sealants by Procedure ......................... 101 7 Cranial Applications for Adhesives & Sealants .............. 103 8 Pulmonary Applications for Adhesives & Sealants .............. 105 9 Abdominal Applications for Adhesives & Sealants .............. 107 10 Other Internal Medical Applications for Adhesives & Sealants ......... 109 11 External Medical Applications for Adhesives & Sealants by Segment & Product ............. 110 Cht External Medical Applications for Adhesives & Sealants by Segment, 2006 .................. 111 12 Tissue Bonding Applications for Adhesives & Sealants .............. 114 13 Prosthesis Applications for Adhesives & Sealants .............. 116 14 Other External Medical Applications for Adhesives & Sealants ......... 117 15 Dental Applications for Adhesives & Sealants by Segment & Product ............. 119 Cht Dental Applications for Adhesives & Sealants by Segment, 2006 ... 120 16 Denture Bonding Agents Demand . 123 17 Pit & Fissure Sealants Demand .... 125 18 Restorative Adhesives Demand .... 126 19 Orthodontic Bonding Agents Demand ................................ 128 20 Luting Cements Demand ............. 130 21 Tray Adhesives Demand .............. 131 22 Dental Surgical Tissue Bonding Adhesives & Sealants Demand .. 132 markEtS 1 Medical & Dental Adhesives & Sealants Demand by Market...... 134 Cht Medical & Dental Adhesives & Sealants Demand by Market, 2006 ..................... 135 2 Primary Care Market for Medical & Dental Adhesives & Sealants .... 138 3 Dental Offices Market for Medical & Dental Adhesives & Sealants .... 140 4 Consumer Market for Medical & Dental Adhesives & Sealants .... 142 inDuStry StructurE 1 US Medical & Dental Adhesives & Sealants Sales by Company, 2006 .................. 146 Cht US Medical & Dental Adhesives & Sealants Sales by Company, 2006 .......... 148 2 Selected Acquisitions & Divestitures ........................... 153 3 Selected Cooperative Agreements. 156 4 Research & Development Spending Patterns: Selected Medical & Dental Adhesives & Sealants Suppliers............................... 160 Study #2201 May 2007 $4400 216 Pages Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 Many markets for medical adhesives and sealants -- including cyanoacrylate, polyethylene glycol and various plasma and protein types -- are experiencing fast growth off a small base. US demand to grow 7.6% annually through 2011 Demand for medical and dental adhesives and sealants in the US is forecast to rise 7.6 percent per year to $1.8 billion in 2011. Much of this growth can be attributed to the aging US population, as older individuals are more likely to require surgical and dental procedures. Advances will also depend on continuing new product development and increasing acceptance of these materials in surgical and consumer settings. Cyanoacrylate, polyethylene glycol among best prospects With the exception of joint replacements and most dental applications, medical applications for adhesives and sealants are relatively new, and thus many markets are experiencing fast growth off a small base. Cyanoacrylate adhesives are projected to find greater use in external tissue bonding applications, particularly in medical emergency and consumer settings. In addition, rapid gains should result from the commercialization of several products presently in development, including cyanoacrylates for internal applications. Continued market penetration of polyethylene glycol sealants in tissue bonding and sealing applications during cardiovascular surgical procedures, as well as the development of an expanded application base into abdominal and cranial procedures, will provide rapid growth for these Page 4 Internal Medical 48% US Medical & Dental Adhesives & Sealants Demand by Application ($1.2 billion, 2006) External Medical 6% Denture Bonding Agents 16% Other Dental 30% materials. Rapid gains for plasma and protein sealants, including those based on albumin and collagen, will be promoted by their expanded use in surgical procedures such as tissue sealing. Medical applications to outpace dental uses Due to the aforementioned factors, medical applications will achieve more rapid growth than dental applications through 2011. In internal medical applications, adhesives and sealants will experience the best growth in situations where the tissue involved is affected by pressure caused by blood (e.g., capillaries, veins or arteries), air (e.g., the lungs), solids (e.g., the gastrointestinal system) or fluids (e.g., the dural membrane in the cranial region, the bladder or the spinal cord). In external medical applications, adhesives and sealants will find increased opportunities in external tissue bonding, particularly on low tension wounds. Dental applications will post annual growth of 4.1 percent through 2011. However, good opportunities still exist, especially in newer products. For example, pit and fissure sealants will register strong gains due to their use in the prevention of cavities. Products such as denture adhesives, restorative adhesives and luting cements will see limited gains through 2011, primarily due to overall improved dental health. Study #2201 May 2007 $4400 216 Pages Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 Sample Text, Table & Chart TABLE III-8 NATURAL-BASED MEDICAL & DENTAL ADHESIVES & SEALANTS DEMAND BY PRODUCT & APPLICATION (million dollars) Item 1996 2001 2006 2011 2016 Resident Population (mil persons) $ natural/capita 269 0.5 Natural-Based Adhesives/Sealants By Product: Dental Applications Plasma & Protein Consumption of adhesives and sealants in dental applications is Other Natural forecast to rise 4.1 percent per year to $685 million in 2011. Gains will be limited by a lower incidence of tooth decay and tooth loss resulting Application: By from the fluoridation of water and aggressive education efforts on the Internal Medical benefits of brushing and flossing. However, while these trends will re-Dental strict gains for restorative and denture bonding agents, as well as dental External Medical cements, growth will be favorable for preventative products, such as pit and fissure sealants. In dental applications, adhesives and sealants gen$/ml erally do not compete with other technologies. This is in contrastNatural Adhesives/Sealants (mil ml) with other applications where adhesives and sealants compete with adhesive bandages, sutures or staples. In 2011, dental applications are projected to account for 39 percent of the total medical and dental adhesives and sealants market. There are seven major categories of dental adhesives and sealants: denture bonding agents, pit and fissure sealants, restorative adhesives, cements, orthodontic bonding agents, luting cements, tray adhesives and surgical tissue bonding. Adhesives and sealants are projected to achieve the most rapid gains in tissue bonding as more dental professionals realize the benefits of using these materials in various surgical procedures, such as tooth extractions. Pit and fissure sealants will also register above-average gains due to their use in the prevention of cavities. Products such as denture adhesives, restorative adhesives and luting cements will see limited gains through 2011, primarily due to overall improved dental health in the US population. 313 3.0 282 605 940 1265 44 104 SAMPLE TExT 299 2.0 148 APPLICATIONS 285 1.0 154 128 435 170 695 245 925 340 SAMPLE 162 456 757 102 125 151 TAbLE 32 18 24 1036 184 45 52 82 14 0.87 171 1.48 191 2.57 235 326 3.9 3.08 3.33 305 380 CHART IV-1 Several technologies can be used in the production of dental adhe- MEDICAL & DENTAL ADHESIVES & SEALANTS sives and sealants, including bisphenol-A-glycidyl methacrylate (BISDEMAND BY APPLICATION, 1996-2016 GMA), glass ionomer, hybrid glass ionomers, methacrylate, polycarboxmillion dollars 1600 ylate, silicone, sodium carboxymethyl cellulose, urethane acrylate, zinc 1500 phosphate, zinc oxide-eugenol and a copolymer of methyl vinyl ether 1400 118 1300 © Copyright by The Freedonia Group, Inc. 1200 1100 1000 900 800 700 600 500 400 300 200 100 0 SAMPLE ChArT 1996 2001 2006 M edical Page 5 2011 Dental 2016 Study #2201 May 2007 $4400 216 Pages Medical & Dental Adhesives & Sealants US Industry Study with Forecasts for 2011 & 2016 Sample Profile, Table & Chart TABLE V-3 DENTAL OFFICES MARKET FOR MEDICAL & DENTAL ADHESIVES & SEALANTS (million dollars) 1996 2001 2006 2011 2016 Item Dental Offices (000) 000$ adhesives/office 121 2.9 123 3.6 126 4.4 349 0.6 374 0.7 410 0.9 430 1.0 450 1.2 Dental Adhesives & Sealants Pit & Fissure Sealants Restorative Adhesives Other Prestige Brands Holdings Incorporated 90 North Broadway Irvington, NY 10533 914-524-6810 http://www.prestigebrands.com 117 2.3 Dental Visits (million) $ adhesives/visit COMPANY PROFILES 113 1.8 199 101 48 50 112 555 308 110 137 SAMPLE 270 355 445 136 184 238 TAbLE 95 64 80 70 91 % dental office 41.7 38.0 29.2 25.4 23.8 Medical/Dental Adhesives & Sealants 477 711 1215 1755 2335 Revenues: $289 million (FY 2006) Employment: 87 (FY 2006) SAMPLE Key Products: a liquid bandage PrOFILE Prestige Brands, a portfolio company of private equity firm GTCR Golder Rauner LLC (Chicago, Illinois), is engaged in the marketing, sale and distribution of over-the-counter pharmaceuticals, household cleaning and personal care products sold by mass merchandisers. The Company operates through three segments: Over-the-Counter Drug, Household Cleaning and Personal Care. The Company participates in the medical adhesive and sealant industry through the Over-the-Counter Drug segment, which generated FY 2006 sales of $161 million. Among the segment’s products are NEW-SKIN liquid bandages, which are brushed on skin and dry rapidly to form a clear protective cover that also kills germs via an antisepOther tic. The Company identifies the major competitor of their NEW-SKIN 50% products as Johnson & Johnson (New Brunswick, New Jersey), maker of BANDAID liquid bandage. The segment uses various third-party manufacturers to fulfill all of its manufacturing needs. These manufactures also handle production planning, research and development, procurement and quality testing. Principal customers of the Company’s products include Wal-Mart (Bentonville, Arizona), Walgreens (Deerfield, Illinois), CVS (Woonsocket, Rhode Island), Target (Minneapolis, Minnesota) and Dollar General (Goodlettsville, Tennessee). 200 Page 6 © Copyright by The Freedonia Group, Inc. CHART VI-1 US MEDICAL & DENTAL ADHESIVES & SEALANTS SALES BY COMPANY, 2006 ($1.2 billion) 13% Market Leaders 50% SAMPLE ChArT 10% Baxter Internation Stryker 9% King Pharmaceu 9% Procter & Gambl 9% DENTSPLY