April 2017 – Selby Spine

MARIETTA, Ga., April 28, 2017 /PRNewswire/ — MiMedx Group, Inc. (NASDAQ: MDXG), the leading biopharmaceutical company developing and marketing regenerative biologics utilizing human placental tissue allografts and patent-protected processes for multiple sectors of healthcare, announced today its record results for the quarter ended March 31, 2017.

First Quarter 2017 Highlights

Revenue grew 36% over Q1 2016 revenue
Revenue of $72.6 million exceeds upper end of MiMedx guidance range
Wound Care revenue of $54.9 million grew 40% over Q1 2016
Surgical, Sports Medicine and Orthopedics (SSO) revenue of $17.7 million grew 26% over Q1 2016
24th of last 25 quarters of meeting or exceeding revenue guidance
Gross profit margin of 88%
Net income of $4.3 million is a 261% increase over Q1 2016
Positive Net Cash Flow From Operations of $10.6 million compared to negative $1.0 million in Q1 2016
21st consecutive quarter of positive Adjusted EBITDA*
Adjusted Net Income* of $7.4 million is a 51% increase over Q1 2016
Adjusted EBITDA* of $12.4 million is a 37% increase over Q1 2016

* See the accompanying tables for definitions of each Non-GAAP metric. Reconciliations of GAAP Net Income to Adjusted EBITDA, GAAP Gross Margin to Adjusted Gross Margin, and GAAP Net Income to Adjusted Net Income and Adjusted Diluted Net Income Per Share appear in the tables below. These non-GAAP measures include, but are not limited to, adjustments for non-cash charges associated with purchase accounting related to the Stability Biologics acquisition, normalization of tax expense, one-time non-recurring cash charges and share based compensation expense.

Results for First Quarter Ended March 31, 2017
The Company recorded record revenue for the 2017 first quarter of $72.6 million, a $19.2 million or 36% increase over 2016 first quarter revenue of $53.4 million. The Company’s gross margin for the quarter ended March 31, 2017, was 88%, as compared to the 85% gross margin in the first quarter of 2016. Net Income for the first quarter of 2017, was $4.3 million, or $.04 per diluted common share, a $3.1 million or 261% increase, as compared to Net Income of $1.2 million, or $0.01 per diluted common share in the first quarter of 2016. Adjusted EBITDA* for the quarter ended March 31, 2017, was $12.4 million, a $3.3 million or 37% improvement, as compared to Adjusted EBITDA* of $9.1 million for the first quarter of 2016.

Management Commentary on Results
Parker H. “Pete” Petit, Chairman and CEO stated, “We are pleased to have exceeded the top end of our revenue guidance and to have recorded very solid performance on our revenue and profit growth. In light of the impact of the normal seasonality that the market experiences in the first quarter of the year, we are especially satisfied with our growth. With respect to our profit performance, our first quarter GAAP Net Income grew by well over 250% compared to Q1 2016, our Adjusted Net Income grew by 51% over the first quarter of 2016, and our Adjusted EBITDA* grew by 37% over Q1 2016. We expect our profit metrics as a percent of revenue to increase as the year progresses.”

Bill Taylor, President and COO, said, “Both of our sales verticals had strong growth with Wound Care revenue increasing by 40% over the first quarter of 2016 and SSO growing by 26% compared to the first quarter of last year. We are also extremely pleased with our strong operating cash flow performance compared to last year’s first quarter. Our cash flow from operations was $10.6 million, compared to a negative $1.0 million in the first quarter of 2016. We had another very favorable decline in Days Sales Outstanding (DSO) in our Accounts Receivable during the quarter, which continued the trend experienced in the last half of 2016.”

“Our three new products introduced during 2016, EpiCord®, our new dehydrated human umbilical cord allograft, AmnioFill®, the first product in the MiMedx placental collagen matrix product family to be commercially launched, and OrthoFlo Lyophilized, an extension of the Company’s amniotic fluid product family, are proving to be very impactful in pursuing our market penetration initiatives. We believe the performance of these new products during the first quarter is solid evidence of the contribution they will deliver during 2017 and beyond,” added Taylor.

Petit commented, “I believe that our shareholders are beginning to realize the very productive asset base that the Company has developed over the last six years. We have developed the management staff, the technology and the intellectual property to smoothly transition our focus towards becoming predominantly a biopharma company. In addition, our asset base includes the technology differentiator in that it embodies over 220 proteins, the primary methods of action for which we have scientifically proven. We have also demonstrated the clinical effectiveness of these proteins through approximately 30 different peer reviewed publications. That is a significant head start in terms of having the resources necessary to proceed down the Investigational New Drug/Biologics License Application (IND/BLA) regulatory pathways for numerous new therapeutic applications of our technology. As shareholders should be aware, we are completing the phase IIb studies on our first IND for plantar fasciitis. We will soon be entering our phase III trials. We have indicated our plans to very shortly file additional INDs on other sports medicine related therapies. We have indicated some of the areas of focus that will be longer-term opportunities for the Company from the same regulatory approval process. Your management is quite enthusiastic about our recently announced strategic focus. We will continue to advise you as our progress in this new strategic area develops.”

Share Repurchase Program
From the May 2014 inception of the Share Repurchase Program through December 31, 2016, the Company acquired $56.1 million in repurchased shares. During the first quarter of 2017, the Company continued to acquire its shares through the Company’s Share Repurchase Program by repurchasing an additional $12.6 million of its shares. Also during the quarter, the Company’s Board of Directors authorized an increase of $20 million to the Company’s Share Repurchase Program. With the first quarter authorizations made by the MiMedx Board, the total amount authorized for the Company’s Share Repurchase Program to date is $86 million.

Liquidity and Cash Flow
Cash on hand as of March 31, 2017, was $30.9 million, as compared to $15.1 million as of March 31, 2016. Net working capital as of March 31, 2017 decreased $3.5 million to $72.3 million, as compared to $75.8 million as of December 31, 2016. The Company recorded positive net cash flow from operating activities of $10.6 million for the quarter ended March 31, 2016 due primarily to increased Adjusted EBITDA*.

GAAP Earnings
The Company recorded Net Income of $4.3 million for the quarter ended March 31, 2017, or $0.04 per diluted common share, as compared to Net Income of $1.2 million, or $0.01 per diluted common share, for the quarter ended March 31, 2016. R&D expenses for the first quarter of 2017 were $4.2 million or 6% of Net Sales, an increase of $1.7 million over first quarter 2016 R&D expenses of $2.5 million.

Selling, general and administrative (“SG&A”) expenses for the first quarter of 2017 were $52.9 million, a $12.3 million increase over first quarter of 2016 SG&A expenses of $40.6 million. Increases in SG&A were due to the continuation of the buildup of the Company’s direct sales force in Wound Care and SSO sales channels, as well as litigation costs.

Revenue Breakdown
The Company distinguishes revenue in two categories: (1) Wound Care and (2) SSO, which includes Original Equipment Manufacturer (“OEM”) applications. For first quarter of 2017, Wound Care revenue was $54.9 million, representing 75.6% of total revenue, and SSO (including OEM) revenue was $17.7 million, representing 24.4% of total revenue.

Second Quarter and Full Year 2017 Guidance Highlights
MiMedx provided its revenue guidance for the second quarter of 2017, increased the low end of its revenue guidance range for full year 2017, and reiterated the remaining full year 2017 guidance that was previously communicated. The Company’s second quarter and full year 2017 guidance includes:

Second quarter of 2017 revenue forecasted to be in the range of $73.5 to $75 million
2017 revenue guidance in the range of $303.5 to $307 million
Gross profit margins for 2017 expected to be in the range of 86% to 88%
2017 Operating Earnings forecasted to grow by 90% or greater
GAAP EPS for 2017 projected to be in the range of $0.18 to $0.20
Adjusted EPS* for 2017 projected to be in the range of $0.31 to $0.33
2017 GAAP Net Earnings expected to grow in excess of 95%
2017 Adjusted EBITDA* expected to be in the range of 21% to 23% of revenue

“Our strong first quarter performance and market momentum gives us a high level of confidence in meeting or exceeding our expectations for 2017,” concluded Petit.

Earnings Call
MiMedx management will host a live broadcast of its first quarter of 2017 results conference call on Friday, April 28, 2017, beginning at 10:30 a.m. eastern time. A listen-only simulcast of the MiMedx Group conference call will be available on-line at the Company’s website at www.mimedx.com. A 30-day on-line replay will be available approximately one hour following the conclusion of the live broadcast. The replay can also be found on the Company’s website at www.mimedx.com.

Use of Non-GAAP Financial Measures
Management has disclosed adjusted financial measurements in this press announcement that present financial information that is not in accordance with generally accepted accounting principles (“GAAP”). These measurements are not a substitute for GAAP measurements, although Company management uses these measurements as aids in monitoring the Company’s on-going financial performance from quarter-to-quarter and year-to-year on a regular basis and for benchmarking against other medical technology companies. For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measure, see the accompanying tables to this release. Adjusted financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. Investors should consider adjusted measures in addition to, and not as a substitute for, or superior to, financial performance measures prepared in accordance with GAAP.

About MiMedx
MiMedx® is an integrated developer, processor and marketer of patent protected and proprietary regenerative and therapeutic biopharmaceutical products processed from donated placental tissues. “Innovations in Regenerative Medicine” is the framework behind our mission to give physicians products and tissues to help the body heal itself. We process the human placental tissue utilizing our proprietary PURION® Process among other processes, to produce safe and effective allografts. MiMedx proprietary processing methodology employs aseptic processing techniques in addition to terminal sterilization. MiMedx is the leading supplier of placental tissue, having supplied over 800,000 allografts to date for application in the Wound Care, Burn, Surgical, Orthopedic, Spine, Sports Medicine, Ophthalmic and Dental sectors of healthcare.

Safe Harbor Statement
This press release includes statements that look forward in time or that express management’s beliefs, expectations or hopes. Such statements are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, the Company’s financial expectations for the second quarter and full year 2017, the contributions that new products will make in the Company’s future performance, that shareholders are beginning to realize the productive asset base that the Company has developed over the last six years, that the Company’s development of the IT and management staff, technology and intellectual property will enable it to smoothly transition its focus towards becoming predominantly a biopharma company, that the Company’s assets include the technology differentiator, that the Company has a significant head start on having the resources necessary to proceed down the IND/BLA regulatory pathways, that the Company expects to file additional INDs and the areas of focus will be longer-term opportunities for the Company, and that the strong first quarter performance and market momentum gives management a high level of confidence in its ability to meet or exceed expectations for 2017. Among the risks and uncertainties that could cause actual results to differ materially from those indicated by such forward-looking statements include that the Company’s revenue may not grow as expected or may decline; even if revenue is achieved, the Company may not be able to achieve its other financial metrics; physician acceptance of new products may not continue and the Company’s new products may not contribute to financial results as predicted; the asset base developed by the Company may not contribute to the Company’s success as predicted and/or may not help it transition to a biopharma company as predicted; new products from other companies may be commercialized which are able to achieve similar results to the Company’s products; there may be delays in filing for regulatory approval or the anticipated filings may not be made at all; regulatory approvals may be delayed or may not occur at all; the benefits associated with the Company’s perceived head start on proceeding down certain regulatory pathways may not materialize; the momentum gained in the first quarter may not continue for subsequent quarters; and the risk factors detailed from time to time in the Company’s periodic Securities and Exchange Commission filings, including, without limitation, its 10-K filing for the fiscal year ended December 31, 2016. By making these forward-looking statements, the Company does not undertake to update them in any manner except as may be required by the Company’s disclosure obligations in filings it makes with the Securities and Exchange Commission under the federal securities laws.

MIMEDX GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)


	March 31, 2017 (unaudited)	December 31, 2016
ASSETS
Current assets:
Cash and cash equivalents	$ 30,924	$ 34,391
Accounts receivable, net	66,846	67,151
Inventory, net	16,050	17,814
Prepaid expenses	6,878	5,894
Other current assets	1,200	1,288
Total current assets	121,898	126,538
Property and equipment, net of accumulated depreciation	13,763	13,786
Goodwill	20,203	20,203
Intangible assets, net of accumulated amortization	22,788	23,268
Deferred tax asset, net	9,530	9,114
Deferred financing costs and other assets	309	354
Total assets	$ 188,491	$ 193,263
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$ 10,892	$ 11,436
Accrued compensation	11,602	12,365
Accrued expenses	9,940	10,941
Current portion of earn out liability	8,740	8,740
Income taxes	7,839	5,768
Other current liabilities	587	1,482
Total current liabilities	49,600	50,732
Earn out liability	8,769	8,710
Other liabilities	1,086	821
Total liabilities	59,455	60,263
Commitments and contingencies
Stockholders’ equity:
Preferred stock; $.001 par value; 5,000,000 shares authorized and 0 shares issued and outstanding	–	–
Common stock; $.001 par value; 150,000,000 shares authorized; 111,195,825 issued and 110,840,873 outstanding at March 31, 2017 and 110,212,547 issued and 109,862,787 outstanding at December 31, 2016	111	110
Additional paid-in capital	153,735	161,261
Treasury stock at cost: 354,952 shares at March31, 2017 and 349,760 shares at December 31, 2016	(2,982)	(2,216)
Accumulated deficit	(21,828)	(26,155)
Total stockholders’ equity	129,036	133,000
Total liabilities and stockholders’ equity	$ 188,491	$ 193,263


MIMEDX GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(in thousands, except share and per share data)
(unaudited)

	Three Months Ended March 31,
	2017	2016
Net sales	$ 72,607	$ 53,367
Cost of sales	8,743	7,946
Gross margin	63,864	45,421

Operating expenses:
Research and development expenses	4,202	2,496
Selling, general and administrative expenses	52,951	40,648
Amortization of intangible assets	526	810
Operating income	6,185	1,467

Other expense, net
Interest expense, net	(145)	(56)

Income before income tax provision	6,040	1,411
Income tax provision (expense) benefit	(1,713)	(214)

Net Income	$ 4,327	$ 1,197

Net income per common share – basic	$ 0.04	$ 0.01

Net income per common share – diluted	$ 0.04	$ 0.01

Weighted average shares outstanding – basic	105,708,526	105,538,271

Weighted average shares outstanding – diluted	113,730,591	112,039,860


MIMEDX GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)

	Three Months Ended March 31,
	2017	2016
Cash flows from operating activities:
Net income	$ 4,327	$ 1,197
Adjustments to reconcile net income to net cash from operating activities:
Depreciation	946	734
Amortization of intangible assets	526	810
Amortization of inventory fair value step-up	75	734
Amortization of deferred financing costs	45	49
Share-based compensation	4,671	4,615
Change in deferred income taxes	(416)	—
Increase (decrease) in cash, net of effects of acquisition, resulting from changes in:
Accounts receivable	305	1,874
Inventory	1,689	(264)
Prepaid expenses	(984)	(2,066)
Other current assets	87	209
Accounts payable	(379)	(4,265)
Accrued compensation	(763)	(5,640)
Accrued expenses	(942)	493
Income taxes	2,071	411
Other liabilities	(618)	132
Net cash flows from operating activities	10,640	(977)

Cash flows from investing activities:
Purchases of equipment	(923)	(2,008)
Purchase of Stability Inc., net of cash acquired	–	(7,631)
Fixed maturity securities redemption	–	500
Patent application costs	(46)	(147)
Net cash flows from investing activities	(969)	(9,286)

Cash flows from financing activities:
Proceeds from exercise of stock options	1,865	1,138
Stock repurchase under repurchase plan	(12,666)	(3,530)
Stock repurchase for tax withholdings on vesting of restricted stock	(2,327)	(684)
Deferred financing costs	–	(20)
Payments under capital lease obligations	(10)	(10)
Net cash flows from financing activities	(13,138)	(3,106)

Net change in cash	(3,467)	(13,369)

Cash and cash equivalents, beginning of period	34,391	28,486
Cash and cash equivalents, end of period	$ 30,924	$ 15,117

MIMEDX GROUP, INC. AND SUBSIDIARIES
Non-GAAP Financial Measures and Reconciliation

In addition to our GAAP results, we provide certain Non-GAAP metrics including Adjusted EBITDA, Adjusted Gross Margin, Adjusted Net Income and Adjusted Diluted Net Income per share. We believe that the presentation of these measures provides important supplemental information to management and investors regarding our performance. These measurements are not a substitute for GAAP measurements, although Company management uses these measurements as aids in monitoring the Company’s on-going financial performance from quarter-to-quarter and year-to-year on a regular basis and for benchmarking against other medical technology companies. Adjusted EBITDA consists of GAAP Net Income excluding: (i) depreciation and amortization, (ii) interest income and expense, (iii) income taxes, (iv) one time acquisition related costs, (v) the effect of purchase accounting due to acquisitions and (vi) share-based compensation expense. Due to the impact of the acquisition of Stability in January 2016 and the release of the valuation allowance on the deferred tax asset on reported tax expense in 2015 on results, we have decided to provide additional adjusted non-GAAP measures to provide comparability of normal ongoing operating results. Beginning in 2016, we have reported Adjusted Gross Margin, Adjusted Net Income and Adjusted Diluted Net Income per Share to normalize results for comparison purposes. Adjusted Gross Margin consists of GAAP gross margin excluding amortization of inventory fair value step-up. Adjusted Net Income and Adjusted Diluted Net Income per share consists of GAAP net income excluding: (i) one time acquisition related costs, (ii) amortization of inventory fair value step-up, (iii) amortization of intangible assets and (iv) share-based compensation. Reconciliations of GAAP net income to Adjusted EBITDA, GAAP Gross Margin to Adjusted Gross Margin and GAAP Net Income to Adjusted Net Income and Adjusted Diluted Net Income per Share for the three months ended March 31, 2017 and 2016 appear in the tables below (in thousands):


	Three Months Ended March 31,
	2017	2016
Net Income (Per GAAP)	$ 4,327	$ 1,197

Add back:
Income taxes	1,713	214
One time costs incurred in connection with acquisition	—	713
One time inventory costs incurred in connection with acquisition	75	734
Other interest expense, net	145	56
Depreciation expense	946	734
Amortization of intangible assets	526	810
Share-based compensation	4,671	4,615
Adjusted EBITDA	$ 12,403	$ 9,073

Reconciliation of “Adjusted Gross Margin” defined as Gross Margin before Amortization of inventory fair value step-up (in thousands):

	Three Months Ended March 31,
	2017	2016
Gross Margin (Per GAAP)	$ 63,864	$ 45,421

Non-GAAP Adjustments:
One time inventory costs incurred in connection with acquisition	75	734
Gross Margin before Amortization of inventory fair value step-up	$ 63,939	$ 46,155
Adjusted Gross Margin	88.1%	86.5%

Reconciliation of “Adjusted Net Income” and “Adjusted Diluted Net Income” per share defined as Net Income less Amortization, One Time Costs and Share-Based Compensation (in thousands, except share and per share data):

	Three Months Ended March 31,
	2017	2016
Net income (Per GAAP)	$ 4,327	$ 1,197

Non-GAAP Adjustments:
Tax rate normalization*	(355)	(350)
One time costs incurred in connection with acquisition	—	713
One time inventory costs incurred in connection with acquisition	75	734
Amortization of intangible assets	526	810
Share-based compensation	4,671	4,615
Estimated income tax impact from adjustments	(1,805)	(2,777)
Adjusted Net Income	$ 7,439	$ 4,942
Adjusted Diluted Net Income per Share	$ 0.07	$ 0.04
Denominator for diluted earnings per share – weighted average shares adjusted for dilutive securities	113,730,591	112,039,860

* Assumes a normalized tax rate of 40% for 2016 and 34% for 2017.

SOURCE MiMedx Group, Inc.

Contacts

Research and Markets
Laura Wood, Senior Manager
press@researchandmarkets.com
For E.S.T Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716
Related Topics: Biopharmaceuticals

April 28, 2017

RESEARCH TRIANGLE PARK, N.C.–(BUSINESS WIRE)–TransEnterix, Inc. (NYSE MKT:TRXC) (“TransEnterix”), a medical device company that is pioneering the use of robotics to improve minimally invasive surgery, announced the pricing of its public offering of units, each consisting of one share of the Company’s common stock, one Series A warrant to purchase one share of common stock and one Series B warrant to purchase 0.75 shares of common stock at a price of $1.00 per unit. Each Series A warrant may be exercised at any time beginning on the date of issuance, and from time to time thereafter, through and including the first anniversary of the issuance date, unless terminated earlier as provided in the Series A warrant. In the event the FDA provides clearance with respect to the company’s Senhance System 510(k) application, which was submitted to the FDA in April 2017, the holders of Series A warrants will have 10 business days following written notice to exercise, in whole or in part, their Series A warrants. Any Series A warrants that remain unexercised after such 10 business day period will expire. Each Series B warrant may be exercised at any time beginning on the date of issuance and from time to time thereafter through and including the fifth anniversary of the issuance date. TransEnterix expects the gross proceeds of the offering to be $24.9 million, before deducting underwriter’s discounts and expenses payable by TransEnterix. If a registration statement registering the resale of the shares of common stock underlying the Series A warrants under the Securities Act of 1933, as amended, is not available, the holder of such Series A warrants may, in its sole discretion, elect to exercise the warrant through a cashless exercise, in which case the holder would receive upon such exercise the net number of shares of common stock determined according to the formula set forth in the warrant. Any holder of Series B warrants may elect to exercise any such Series B warrant through a cashless exercise at any time prior to expiration. All of the securities to be sold in the offering are to be sold by TransEnterix.

Stifel is acting as the sole book-running manager. The offering is expected to close on or about May 3, 2017, subject to customary closing conditions.

A shelf registration statement relating to the securities offered in the public offering described above was filed with the U.S. Securities and Exchange Commission (the “SEC”) on November 7, 2014 and declared effective on December 19, 2014 (File No. 333-199998), and post-effectively amended pursuant to Post-Effective Amendment No. 1 on Form S-3, as filed with the SEC on March 8, 2016 and declared effective on June 22, 2016 and a related registration statement was filed pursuant to Rule 462(b) under the Securities Act of 1933. The offering is being made only by means of the written prospectus and prospectus supplement that form a part of the registration statement. A preliminary prospectus supplement related to the offering has been filed with the SEC and may be obtained for free by visiting EDGAR on the SEC website at www.sec.gov. A final prospectus supplement related to the offering will be filed with the SEC. When available, copies of the final prospectus supplement and the accompanying prospectus relating to the securities being offered may also be obtained by contacting Stifel, Nicolaus & Company, Incorporated, Attention: Syndicate, One Montgomery Street, Suite 3700, San Francisco, CA 94104 or by telephone: (415) 364-2720.

This press release does not constitute an offer to sell, or a solicitation of an offer to buy, the securities in the described offering, nor will there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale is unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About TransEnterix, Inc.

TransEnterix is a medical device company that is pioneering the use of robotics to improve minimally invasive surgery by addressing the clinical and economic challenges associated with current laparoscopic and robotic options. The company is focused on the commercialization of the Senhance™ Surgical Robotic System, a multi-port robotic system that brings the advantages of robotic surgery to patients while enabling surgeons with innovative technology such as haptic feedback and eye sensing camera control. The Company also developed the SurgiBot™ System, a single-port, robotically enhanced laparoscopic surgical platform. The Senhance Surgical Robotic System has been granted a CE Mark but is not currently available for sale in the United States.

Forward Looking Statements

This press release includes statements relating to the proposed offering of TransEnterix’s securities. These statements and other statements regarding our future plans and goals constitute “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties that are often difficult to predict, are beyond our control and which may cause results to differ materially from expectations, including our expectations regarding the proposed offering and use of proceeds. For a discussion of the risks and uncertainties associated with TransEnterix’s business, please review our filings with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2016 and subsequent filings with the SEC. You are cautioned not to place undue reliance on these forward looking statements, which are based on our expectations as of the date of this press release and speak only as of the origination date of this press release. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Contacts

For TransEnterix, Inc.
Investor Contact:
Mark Klausner, +1-443-213-0501
invest@transenterix.com
or
Media Contact:
(For EU) Conrad Harrington, +44 (0)20 3178 8914
or
(For US) Hannah Dunning, +1-415-618-8750
TransEnterix-SVC@sardverb.com

AAEAAQAAAAAAAAXhAAAAJDM4NjJlZjBkLWNiNjEtNGI5NC1iYmQ3LTA2YzBlOTgxMTdlMQ-1.png

LUND, Sweden, April 28, 2017 /PRNewswire/ —

BONESUPPORT AB, an emerging leader in innovative injectable bioceramic bone scaffolds to treat bone voids caused by trauma, infection, disease or related surgery, announces the election of Lennart Johansson to its Board of Directors.

Mr Johansson has been a Senior Advisor at Patricia Industries AB since 2015, and was previously Managing Director (Business Development, Operating and Financial Investments) at Investor AB (2006-2015). Before that, he was Partner and Chief Executive Officer of Emerging Technologies ET AB. He is currently Board Member of Swedish Orphan Biovitrum AB and Hi3G Access AB; Deputy Board Member of Mölnlycke Health Care AB; and Chairman of Vectura AB. Mr Johansson holds an MBA from the Stockholm School of Economics (1980).

Håkan Björklund, Chairman of BONESUPPORT, said: “We are pleased to welcome Lennart to the BONESUPPORT Board. This is an exciting period for the Company and we are confident that Lennart’s experience will be a valuable asset assisting us to achieve our goals.”

Mr Johansson added: “I very much look forward to working with the BONESUPPORT management team and Board to help capitalize on the Company’s potential to become a global leader in the management and treatment of bone disease via its unique CERAMENT^[^Ⓡ^]platform.”

About BONESUPPORT™

BONESUPPORT has developed CERAMENT as an innovative range of radiopaque injectable osteoconductive bioceramic products that have a proven ability to heal defects by remodeling to host bone in six to 12 months. Our products are effective in treating patients with fractures and bone voids caused by trauma, infection, disease or related surgery. Our lead product, CERAMENT BONE VOID FILLER (BVF) addresses important issues facing health care providers, such as avoiding hospital readmissions and revision surgery that result from failed bone healing and infection caused by residual bone voids. CERAMENT BVF is commercially available in the U.S., EU, SE Asia and the Middle East.

CERAMENT’s distinctive properties as a drug eluting material have been validated in clinical practice by CERAMENT G and CERAMENT V, the first CE-marked injectable antibiotic eluting bone graft substitutes. These products provide local sustained delivery of gentamicin and vancomycin, respectively. The local delivery feature enables an initial high concentration of antibiotics to the bone defect and then a longer sustainable dose above the minimal inhibitory concentration (MIC) to protect bone healing and promote bone remodeling.

CERAMENT G and CERAMENT V have demonstrated good results in patients with problematic bone infections including osteomyelitis. They are also used prophylactically in patients who are at risk for developing infection. CERAMENT G and CERAMENT V are available in the EU.

BONESUPPORT was founded in 1999 by Prof. Lars Lidgren, an internationally respected scientist who has been the President of various musculoskeletal societies. BONESUPPORT’s mission is to bring people with bone and joint diseases back to an active life. The Company is based in Lund, Sweden. www.bonesupport.com

BONESUPPORT™ and CERAMENT™ are registered trademarks.

Contact Information

Björn Westberg
Chief Financial Officer
+46-(0)-46-286-53-24
info@bonesupport.com

SOURCE BONESUPPORT AB

April 28, 2017

ERAGNY-SUR-OISE, France–(BUSINESS WIRE)–Regulatory News:

SAFE ORTHOPAEDICS (Paris:SAFOR) (FR0012452746 – SAFOR), a company offering an innovative range of sterile implants combined with their single-use instruments for spinal surgery, has today reported its full-year results for 2016.

Audit procedures of the FY 2016 financial statements are being performed, and Safe Orthopaedics’ annual financial report will be available in the Investors > Documentation > Documents and Publications section of the Company’s website (www.SafeOrtho.com) from April 29, 2017.


in thousands of euros financial statements under audit, report non-issued	FY 2016	FY 2015
Revenues	2,365	2,498
Purchases used and change in inventories	(1,559)	(2,023)
External costs	(2,820)	(2,682)
Personnel costs	(3,633)	(3,903)
Taxes	(70)	(59)
Depreciation, amortization and charges to provisions	(162)	(883)
Other operating income/(expense)	(224)	(167)
Operating income/(loss) before non-recurring items	(6,104)	(7,218)
Other income/(expense)	(183)	–
Operating income/(loss)	(6,287)	(7,218)
Net financial income	282	656
Net income	(6,005)	(6,566)

€1.1 million improvement in operating performance before non-recurring items

FY 2016 revenues declined slightly to €2.4 million. Even so, when adjusted for the operations in the United States discontinued effective March 1, 2016, Safe Orthopaedics’ revenues grew 10% to €2.3 million from €2.1 million in FY 2015.

Revenues continued to grow in France, rising 16% to €1.2 million in 2016 despite its limited sales and marketing resources. The refocusing drive launched in the first quarter led to the reassignment of certain sales and marketing resources to the region, with new sales staff hired in the second half of the year. Although they did not contribute to FY 2016 revenues, these new staff should have a positive impact in 2017, especially following the recent listing of Safe Orthopaedics’ products in AP-HP’s 39 hospitals in the Paris region, which account for roughly one-quarter of the French market¹.

In the Rest of the World (excluding the United States), revenue growth was fairly sedate during FY 2016 (+3%). The recent launch of sales and marketing operations in Germany should boost the Company’s growth in 2017.

Following the withdrawal from the United States in 2016, Safe Orthopaedics unlocked various savings, which led to a €1.1 million improvement in operating performance before non-recurring items.

After the decline in net financial income due to a negative foreign exchange impact, the FY 2016 net loss totaled €6.0 million versus a loss of €6.6 million in FY 2015.

Reduced cash consumption and financial position

Following its withdrawal from the United States in March 2016, Safe Orthopaedics set about reducing its cash consumption so that it could invest more in expanding its sales and marketing operations, chiefly in France, Germany and other European and emerging markets.

As a result, it used €5.8 million in cash in FY 2016, down from €6.5 million in 2015. Safe Orthopaedics’ net cash² at December 31, 2016 stood at €2.7 million, compared with €5.9 million at December 31, 2015.

During 2017, based on its projections, the Company will need to attract new financing in order to fulfill its funding requirements.

The company is working on several scenarios:

A round of fundraising take the form of a capital increase, public or private, or the issuance of bonds, convertible or not
The use of drawings on the Yorkville OCABSA program or on the Pacéo (currently suspended).

No decision has been made between these scenarios at this stage. However, the Board of April 20th 2017 has approved the principle of a round of fundraising. Some historical shareholders of the Company, including funds managed by Kurma Partners, have signaled their interest in a participation in this transaction, if it were launched by the Company, at a level of 1M€, in the shape of subscriptions and/or guarantees, the format of which would be adapted to the type of transaction, it being understood that this expression of interest does not equate to a commitment on their part.

The accounts of the Company have therefore been established, in this context, by applying the business continuity principle.

However, even though the Company estimates that based on its track record and discussions carried out to date, it is likely that this refinancing would be completed, there subsists in fact an uncertainty regarding its business continuity.

Acceleration in business development and Outlook

During 2016 and since the beginning of 2017, Safe Orthopaedics has continued its realignment from an R&D-oriented company to one focused in priority on marketing its innovative technologies and delivering sales growth.

By strengthening its sales and marketing teams, which now account for over one-third of its headcount, Safe Orthopaedics intends to maintain this momentum. Following the recent hires of very experienced managers, such as Jochen Esser (Head of Sales Germany, see press release dated March 6, 2017) and Pascale Davis (Global Head of Marketing, see press release dated April 24, 2017), Safe Orthopaedics plans to recruit additional talents in its priority markets during 2017.

“2016 marked a change in Safe Orthopaedics’ strategy. Thanks to our decision to withdraw from the United States to refocus in priority on the European market, we successfully managed to reduce our cash consumption in less than a year, while also delivering growth, as demonstrated by our fourth-quarter 2016 performance,” said Pierre Dumouchel, Chief Executive Officer of Safe Orthopaedics since March 2016. “I intend to keep moving firmly in the same direction during 2017. AP-HP’s recent decision to list our products and the commercial launch of our product range in Germany, Europe’s largest market by far, have made me even more confident in our ability to maintain a solid pace of growth and further improve our financial performance in the current year.”

Next financial release: First-quarter 2017 revenues: May 9, 2017 (before the market opens)

About Safe Orthopaedics

Founded in 2010, Safe Orthopaedics is a French medical technology company that aims to make spinal surgeries safer by using sterile implants and associated single-use instruments. Through this approach, these products eliminate all risk of contamination, reduce infection risks and facilitate a minimally-invasive approach for trauma and degenerative pathologies—benefiting patients. Protected by 17 patent families, the SteriSpine^TM kits are CE-marked and FDA approved. The company is based at Eragny-sur-Oise (Val d’Oise department), and has 30 employees.

For more information, visit: www.SafeOrtho.com

¹ Source: Company
² Net cash represents cash and cash equivalents less short-term debt

Contacts

Safe Orthopaedics
Thierry Lambert
CFO
Tél.: +33 (0)1 34 21 50 00
investors@safeorthopaedics.com
or
NewCap
Julien Perez / Valentine Brouchot
Investor Relations
Nicolas Merigeau
Media Relations
Tél.: +33 (0)1 44 71 94 94
SafeOrtho@newcap.eu

April 27, 2017

ALACHUA, Fla.–(BUSINESS WIRE)–RTI Surgical Inc. (RTI) (Nasdaq: RTIX), a global surgical implant company, reported operating results for the first quarter of 2017. In addition, the company outlined progress against the initial stages of its transformation toward long-term profitable growth.

RTI’s first quarter 2017 financial results, as described in greater detail below, reflect that the company’s initial actions are beginning to yield positive results. RTI has delivered double-digit revenue growth across its direct business, including its spine, surgical specialties and cardiothoracic segments. The company reported continued strong performance in its International business, with revenue growth in Europe and Asia-Pacific. The Commercial/other business continues to see signs of stabilization despite a decline in revenues.

Under the leadership of Camille Farhat, who assumed the CEO position on March 15, 2017, RTI’s management is implementing a series of actions to return the company to sustainable profitable growth. These initiatives include improving execution, reducing costs and directing resources to those businesses, products and markets with the greatest growth potential. The initial phase of the company’s restructuring program remains on target to yield annualized savings of approximately $8 million, starting in the second quarter.

“I am pleased that our initial strategic initiatives are taking hold, as evidenced by two consecutive quarters of improving performance. While these results are a positive sign, we still have significant work ahead of us,” said Camille Farhat, chief executive officer, RTI. “We are in the early stages of what will be a long-term transformation of the company. Our current focus is on cost reduction, disciplined execution and targeted innovation to better position RTI’s operating platform for growth and profitability.”

He added, “Longer-term, we are completing a thorough evaluation of RTI, its businesses, markets and products. Although we are in the initial phases of this evaluation, there are three central themes that standout: 1) continue investment in our spine business and build scale, 2) increase investment in our commercial business to drive innovation and create new growth opportunities, and, 3) improve margins of our tissue-based implants. We have a talented team, outstanding products and a fierce dedication to meeting our customers’ needs. I am confident that we are on the right path toward setting up RTI for long-term profitable growth and improved cash flow generation.”

First Quarter 2017

RTI reported a net loss applicable to common shares of $2.8 million in the first quarter of 2017, or $0.05 per fully diluted common share, primarily due to a previously disclosed pre-tax charge for severance-related expenses totaling $4.4 million. As outlined in the reconciliation tables that follow, excluding these charges, adjusted net income applicable to common shares was $139,000. Adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA) were $6.5 million.

Worldwide revenues were $69.9 million for the first quarter of 2017, an increase of 4 percent, domestic revenues were $63.3 million, an increase of 3 percent, and International revenues were $6.6 million, an increase of 8 percent when compared to the first quarter of 2016. The increase in domestic revenues was primarily due to strong performance in the domestic direct business. The increase in International revenues was mainly driven by growth in Asia, primarily in Spine, and in Europe, primarily in Biologics.

Direct revenues were $43.8 million for the first quarter of 2017, an increase of 13 percent compared to the first quarter of 2016, with double-digit growth reported in RTI’s spine, surgical specialties and cardiothoracic direct business segments. Commercial/other revenues were $26.1 million for the first quarter of 2017, a decline of 9 percent compared to the first quarter of 2016, partly due to lower orders in RTI’s OEM trauma business. Commercial/other revenues continue to stabilize on a sequential basis.

Fiscal 2017 Outlook

RTI’s focus for 2017 will remain squarely on disciplined execution, targeted innovation, and ongoing implementation of strategic actions to achieve profitable growth across each of its business lines and geographies. The company has developed its guidance based on its ongoing restructuring and operational improvement program, its current business profile and existing market conditions.

Within this context, based on first quarter results, RTI expects full year revenues for 2017 to be between $274 million and $285 million, in line with prior communication, with direct revenues anticipated to grow mid-to-high single digits on a percentage basis compared to 2016, while commercial/other revenues are expected to be relatively flat to low single-digit decline on a percentage basis.

As detailed in the reconciliation provided later in this release, excluding the $4.4 million pre-tax charge for severance-related expenses in 2017 as noted above, RTI expects adjusted full year net income per fully diluted common share to be between $0.05 and $0.10, in line with prior communication, based on 59.5 million fully diluted shares outstanding.

RTI will continue to evaluate its operating platform throughout the year and will update its top and bottom line guidance as its actions might warrant.

Conference Call

RTI will host a conference call and simultaneous audio webcast to discuss its first quarter 2017 results at 8:30 a.m. ET today. The conference call can be accessed by dialing (877) 383-7419. The webcast can be accessed through the investor section of RTI’s website at www.rtix.com. A replay of the conference call will be available on the RTI website following the call.

About RTI Surgical Inc.

RTI Surgical is a leading global surgical implant company providing surgeons with safe biologic, metal and synthetic implants. Committed to delivering a higher standard, RTI’s implants are used in sports medicine, general surgery, spine, orthopedic, trauma and cardiothoracic procedures and are distributed in nearly 50 countries. RTI is headquartered in Alachua, Fla., and has four manufacturing facilities throughout the U.S. and Europe. RTI is accredited in the U.S. by the American Association of Tissue Banks and is a member of AdvaMed. For more information, please visit www.rtix.com.

Forward-Looking Statement

This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current expectations, estimates and projections about our industry, our management’s beliefs and certain assumptions made by our management. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, except for historical information, any statements made in this communication about anticipated financial results, growth rates, new product introductions, future operational improvements and results or regulatory actions or approvals or changes to agreements with distributors also are forward-looking statements. These statements are not guarantees of future performance and are subject to risks and uncertainties, including the risks described in public filings with the U.S. Securities and Exchange Commission (SEC). Our actual results may differ materially from the anticipated results reflected in these forward-looking statements. Copies of the company’s SEC filings may be obtained by contacting the company or the SEC or by visiting RTI’s website at www.rtix.com or the SEC’s website at www.sec.gov.


RTI SURGICAL, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(Unaudited, in thousands, except share and per share data)


	For the Three Months Ended
	March 31,
		2017			2016
Revenues	$	69,939		$	67,351
Costs of processing and distribution		34,160			31,326
Gross profit		35,779			36,025

Expenses:
Marketing, general and administrative		29,671			27,552
Research and development		3,688			4,161
Severance charges		4,403			–
Contested proxy expenses		–			308
Total operating expenses		37,762			32,021
Operating (loss) income		(1,983	)		4,004
Total other expense – net		(799	)		(314	)
(Loss) income before income tax provision		(2,782	)		3,690
Income tax benefit (provision)		910			(1,289	)
Net (loss) income		(1,872	)		2,401
Convertible preferred dividend		(910	)		(858	)
Net (loss) income applicable to common shares	$	(2,782	)	$	1,543

Net (loss) income per common share – basic	$	(0.05	)	$	0.03
Net (loss) income per common share – diluted	$	(0.05	)	$	0.03
Weighted average shares outstanding – basic		58,495,796			57,914,893
Weighted average shares outstanding – diluted		58,495,796			58,211,644


RTI SURGICAL, INC. AND SUBSIDIARIES
Reconciliation of Net (Loss) Income Applicable to Commons Shares to Adjusted EBITDA
(Unaudited, in thousands)


	For the Three Months
	Ended March 31,
		2017			2016
Net (loss) income	$	(2,782	)	$	1,543
Interest expense, net		819			360
Provision for income taxes		(910	)		1,289
Depreciation		2,672			3,382
Amortization of intangible assets		896			928
EBITDA		695			7,502
Reconciling items for Adjusted EBITDA
Preferred dividend		910			858
Non-cash stock based compensation		834			500
Foreign exchange gain		(20	)		(46	)
Other reconciling items(1)
Severance charges excluding stock based compensation		4,070			–
Contested proxy expenses		–			308
Adjusted EBITDA	$	6,489		$	9,122
Adjusted EBITDA as a percent of revenues		9	%		14	%


(1) See explanations in Use of Non-GAAP Financial Measures section later in this release.


	RTI SURGICAL, INC. AND SUBSIDIARIES
	Reconciliation of Net (Loss) Income Applicable to Common Shares and Net (Loss) Income Per Diluted Share to
	Adjusted Net Income Applicable to Common Shares and Adjusted Net Income Per Diluted Share
	(Unaudited, in thousands, except per share data)

		For the Three Months Ended
		March 31, 2017						March 31, 2016
		Net						Net
		Income			Amount			Income			Amount
		Applicable to			per Diluted			Applicable to			per Diluted
		Common Shares			Share			Common Shares			Share
	As reported	$	(2,782	)	$	(0.05	)	$	1,543		$	0.03
	Severance charges (1)		4,403		$	0.07			–			–
	Contested proxy expenses (2)		–			$			308			0.01
	Tax effect on adjustments		(1,482	)	$	(0.03	)		(125	)		(0.00	)
	Adjusted *	$	139		$	0.00		$	1,726		$	0.03


*	See explanations in Use of Non-GAAP Financial Measures section later in this release.
	Amount Per Diluted Share may not foot due to rounding.

Fiscal 2017 Outlook

Full year net income per fully diluted common share is expected to be in the range of $0.01 to $0.06, based on 59.5 million fully diluted shares outstanding. Excluding severance charges taken in 2017, full year net income per fully diluted common share is expected to be in the range of $0.05 to $0.10.


RTI SURGICAL, INC. AND SUBSIDIARIES
Reconciliation of GAAP Guidance Net Income Per Common Share – Diluted to
Adjusted Non-GAAP Guidance Net Income Per Common Share – Diluted
(Unaudited)


					Twelve Months Ended
					December 31, 2017
					$ Amount
					Per Common
					Share – Diluted
GAAP Guidance Net Income Per Common Share – Diluted					$ 0.01 – 0.06
Severance charges, net of tax effect					0.04
Adjusted Non-GAAP Guidance Net Income Per Common Share – Diluted					$ 0.05 – 0.10

Use of Non-GAAP Financial Measures

To supplement the Company’s unaudited condensed consolidated financial statements presented on a GAAP basis, the Company discloses certain non-GAAP financial measures that exclude certain amounts, including Adjusted EBITDA, Adjusted Net Income Applicable to Common Shares and Adjusted Net Income per Common Share – Diluted. The calculation of the tax effect on the adjustments between GAAP net (loss) income applicable to common shares and non-GAAP net income applicable to common shares is based upon our estimated annual GAAP tax rate, adjusted to account for items excluded from GAAP net (loss) income applicable to common shares in calculating Adjusted Net Income Applicable to Common Shares-Diluted. A reconciliation of the non-GAAP financial measures to the corresponding GAAP measures is included in the tables listed above.

The following is an explanation of the adjustments that management excluded as part of adjusted measures for the three month period ended March 31, 2017 and 2016 as well as the reason for excluding the individual items:

(1) Severance charges – This adjustment represents charges relating to the termination of former employees. Management removes the amount of these costs from our operating results to supplement a comparison to our past operating performance.

(2) Contested proxy expenses – This adjustment represent charges relating to contested proxy expenses. Management removes the amount of these costs from our operating results to supplement a comparison to our past operating performance.

Material Limitations Associated with the Use of Non-GAAP Financial Measures

Adjusted EBITDA, Adjusted Net Income Applicable to Common Shares and Adjusted Net Income per Common Share – Diluted should not be considered in isolation, or as a replacement for GAAP measures.

Usefulness of Non-GAAP Financial Measures to Investors

The Company believes that presenting Adjusted EBITDA, Adjusted Net Income Applicable to Common Shares and Adjusted Net Income per Common Share – Diluted in addition to the related GAAP measures provide investors greater transparency to the information used by management in its financial decision-making. The Company further believes that providing this information better enables the Company’s investors to understand the Company’s overall core performance and to evaluate the methodology used by management to assess and measure such performance.


RTI SURGICAL, INC. AND SUBSIDIARIES
Condensed Consolidated Revenues
(Unaudited, in thousands)


	For the Three Months Ended
	March 31,
	2017		2016

Revenues:
Spine	$	20,338	$	17,094
Sports medicine and orthopedics		12,896		12,520
Surgical specialties		1,780		1,015
Cardiothoracic		3,151		2,534
International		5,657		5,517
Subtotal direct		43,822		38,680
Global commercial		23,581		25,330
Other revenues		2,536		3,341
Total revenues	$	69,939	$	67,351
Domestic revenues		63,307		61,184
International revenues		6,632		6,167
Total revenues	$	69,939	$	67,351


RTI SURGICAL, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(Unaudited, in thousands)

	March 31,			December 31,
		2017			2016
Assets
Cash and cash equivalents	$	17,598		$	13,849
Accounts receivable – net		36,294			41,488
Inventories – net		117,392			119,743
Prepaid and other current assets		5,888			5,213
Total current assets		177,172			180,293

Property, plant and equipment – net		85,118			83,298
Goodwill		54,887			54,887
Other assets – net		51,472			49,553
Total assets	$	368,649		$	368,031

Liabilities and Stockholders’ Equity
Accounts payable	$	28,360		$	26,112
Accrued expenses and other current liabilities		27,345			26,772
Current portion of long-term obligations		5,301			6,080
Total current liabilities		61,006			58,964

Deferred revenue		7,394			6,612
Long-term liabilities		76,068			77,523
Total liabilities		144,468			143,099

Preferred stock, including accrued dividends		60,972			60,016

Stockholders’ equity:
Common stock and additional paid-in capital		416,415			416,570
Accumulated other comprehensive loss		(7,996	)		(8,316	)
Accumulated deficit		(245,210	)		(243,338	)
Total stockholders’ equity		163,209			164,916
Total liabilities and stockholders’ equity	$	368,649		$	368,031


RTI SURGICAL, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(Unaudited, in thousands)

	For the Three Months
	Ended March 31,
		2017			2016
Cash flows from operating activities:
Net (loss) income	$	(1,872	)	$	2,401
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization expense		3,568			4,310
Stock-based compensation		834			500
Amortization of deferred revenue		(1,274	)		(1,217	)
Other items to reconcile to net cash provided by operating activities		8,321			429
Net cash provided by operating activities		9,577			6,423
Cash flows from investing activities:
Purchases of property, plant and equipment		(3,283	)		(4,637	)
Patent and acquired intangible asset costs		(319	)		(1,196	)
Net cash used in investing activities		(3,602	)		(5,833	)
Cash flows from financing activities:
Proceeds from long-term obligations		2,000			3,000
Net payments from short-term obligations		–			(249	)
Payments on long-term obligations		(4,250	)		(4,133	)
Other financing activities		(34	)		(108	)
Net cash used in financing activities		(2,284	)		(1,490	)
Effect of exchange rate changes on cash and cash equivalents		58			14
Net increase (decrease) in cash and cash equivalents		3,749			(886	)
Cash and cash equivalents, beginning of period		13,849			12,614
Cash and cash equivalents, end of period	$	17,598		$	11,728

Contacts

RTI Surgical Inc.
Robert Jordheim
Chief Financial Officer
rjordheim@rtix.com
or
Roxane Wergin
Director, Corporate Communications
rwergin@rtix.com
386-418-8888

April 26, 2017

VALENCE, France–(BUSINESS WIRE)–Regulatory News:

Amplitude Surgical (Paris:AMPLI) (ISIN: FR0012789667, Ticker: AMPLI, PEA-PME eligible), a leading French player on the global surgical technology market for lower-limb orthopedics, announces its sales for the third quarter of its 2016-17 financial year.

Olivier Jallabert, Chairman and CEO of Amplitude Surgical, says: “Amplitude Surgical is continuing to record a high level of growth, driven by all its markets. This performance results from the successful implementation of the Group’s development strategy, supported by all members of staff, and, beyond that, our strengthened positioning on the largest markets with an innovative offering to meet the many challenges facing surgeons and their patients represents the bedrock of our future growth.”

Q3 2016-17 sales	31/03/2017	31/03/2016	Δ actual	Δ constant currency
€ thousands – IFRS	31/03/2017	31/03/2016	Δ actual	Δ constant currency
France	18,338	16,930	8.3%	8.3%
International	8,947	7,339	21.9%	14.4%
of which: Subsidiaries	6,510	5,136	26.7%	16.0%
of which: Distributors	2,437	2,202	10.7%	10.6%
Total	27,285	24,269	12.4%	10.2%

9M 2016-17 sales	31/03/2017	31/03/2016	Δ actual	Δ constant currency
€ thousands – IFRS	31/03/2017	31/03/2016	Δ actual	Δ constant currency
France	44,261	39,378	12.4%	12.4%
International	24,907	19,308	29.0%	22.8%
of which: Subsidiaries	17,980	14,392	24.9%	16.6%
of which: Distributors	6,927	4,916	40.9%	40.9%
Total	69,168	58,686	17.9%	15.8%

Over the first 9 months (to end-March 2017) of the Group’s 2016-17 financial year, Amplitude Surgical recorded sales of €69.2 million, up +17.9% in actual terms and +15.8% in organic terms. The buoyant growth at the start of the year has continued at a solid pace, with organic growth of +10.2% in Q3 2016-17, nevertheless affected by a particularly demanding basis of comparison (organic growth of +18.6% in Q3 2015-16).

In France, Amplitude Surgical is continuing to make market share gains, notably by winning over numerous new clients. Sales thus totaled €18.4 million in the 3^rd quarter, up +8.3%, and €44.3 million over the first 9 months of 2017, up +12.4%.

The Group is continuing to record buoyant International growth, both via its subsidiaries and through its distributors. In the 3^rd quarter, sales totaled almost €9 million, up 21.9% in actual terms and 14.4% at constant currency. Over the first 9 months of 2017, sales totaled €24.9 million, up +29.0% in actual terms and +22.8% at constant currency, with 24.9% growth for its subsidiaries, which accounted for 72% of activity, and 40.9% growth for distributors. The sales performance was particularly satisfactory on most markets, and notably the Group’s European markets, while the first contribution of its new subsidiaries in South Africa and Japan came to almost €1 million.

Marketed since mid-2014, the Novastep range for lower-limb (foot and ankle) surgery continued to record very strong growth. Over the first 9 months to the end of March, its sales totaled €4.5 million, up almost 70%, and accounted for almost 7% of Group activity. Sales were doubled in the United States, which now accounts for over 40% of this activity, while in France they increased by almost 50%.

Recent highlights:
In the last quarter, Amplitude Surgical completed the setting up of an Iso 7 and Iso 5 clean room in Valence for the cleaning and packaging of surgical implants. As soon as the equipment was received, manufacturing was launched with a view to passing validation tests over a 6-month period. In accordance with the initial schedule, this equipment should thus be certified in time to become operational during the fall of 2017.

Next financial press release: 2016-17 annual sales, on Wednesday July 26, 2017, after market.

About Amplitude Surgical
Founded in 1997 in Valence, France, Amplitude Surgical is a leading French player on the global surgical technology market for lower-limb orthopedics. Amplitude Surgical develops and markets high-end products for orthopedic surgery covering the main disorders affecting the hip, knee and extremities, and notably foot and ankle surgery. Amplitude Surgical develops, in close collaboration with surgeons, numerous high value-added innovations in order to best meet the needs of patients, surgeons and healthcare facilities. A leading player in France, Amplitude Surgical is developing abroad through its subsidiaries and a network of exclusive distributors and agents. Amplitude Surgical operates on the lower-limb market through the intermediary of its Novastep subsidiaries in France and the United States. Amplitude Surgical distributes its products in more than 30 countries. At June 30, 2016, Amplitude Surgical had a workforce of almost 300 employees and recorded sales of over 80 million euros.

Contacts

Amplitude Surgical
Philippe Garcia, +33 (0)4 75 41 87 41
CFO
finances@amplitude-surgical.com
or
NewCap
Investor Relations
Marc Willaume, +33 (0)1 44 71 00 13
amplitude@newcap.eu
or
NewCap
Media Relations
Nicolas Merigeau, +33 (0)1 44 71 98 55
amplitude@newcap.eu

SUWANEE, GA–(Marketwired – Apr 27, 2017) – SANUWAVE Health, Inc. ( OTCQB : SNWV ) is pleased to announce that the company will exhibit, in conjunction with Ortho-Medico, at EWMA (European Wound Management Association) in Amsterdam, The Netherlands on 3-5 May 2017. With renewed energy and focus, SANUWAVE is intent on continuing to strengthen our association with doctors, hospitals and wound care centers and re-establishing the Company’s products into the EU market.

The Company is using this occasion to promote our lead wound care product dermaPACE®. This Extracorporeal Shockwave Technology (ESWT) device, based upon electrohydraulic principles, is CE Marked and has enjoyed success in certain markets within the European Union treating a wide variety of skin conditions such as pressure ulcers, burns, post-operative wounds, and scar reduction. dermaPACE has been proven, in two US based clinical trials enrolling 336 subjects, to be safe and effective in the treatment of Diabetic Foot Ulcers. Within a few weeks of initial treatment, wounds treated with dermaPACE reduce in area at superior rates compared to control subjects. dermaPACE exhibits superiority in wound area reduction within 12 weeks of initial treatment and exhibits superiority in wound closure within 20 weeks of initial treatment. The use of dermaPACE allows the clinician to more easily, and more cost-effectively, manage wounds. More importantly, the patient’s quality of life improves significantly.

For more information on SANUWAVE’s technology, please read our blog, “Shock This”, on our website at www. sanuwave.com.

SANUWAVE and Ortho-Medico cordially invite you to our booth Number 3 E14 to discuss how dermaPACE can work for you. Our booth is located on the side of the floorplan which can be accessed at: https://www.ewmaexhibition2017.org/ehome/index.php?eventid=155542&.

The conference will be held at: Amsterdam RAI, Europaplein 22, NL 1078 GZ Amsterdam, The Netherlands, www.rai.nl.

Mr. Pete Stegagno and Mr. André Mouton from SANUWAVE and Mr. Jo Schops from Ortho-Medico will be on hand to talk about some new opportunities for 2017 which will be very important for your business or practice and we welcome your visit to our booth. If you are attending EWMA, we thank you for informing us about the timing of your potential visit to our booth to ensure we organize our meeting with you.

About SANUWAVE Health, Inc.

SANUWAVE Health, Inc. ( OTCQB : SNWV ) (www.sanuwave.com) is a shock wave technology company initially focused on the development and commercialization of patented noninvasive, biological response activating devices for the repair and regeneration of skin, musculoskeletal tissue and vascular structures. SANUWAVE’s portfolio of regenerative medicine products and product candidates activate biologic signaling and angiogenic responses, producing new vascularization and microcirculatory improvement, which helps restore the body’s normal healing processes and regeneration. SANUWAVE applies its patented PACE technology in wound healing, orthopedic/spine, plastic/cosmetic and cardiac conditions. Its lead product candidate for the global wound care market, dermaPACE®, is CE Marked throughout Europe and has device license approval for the treatment of the skin and subcutaneous soft tissue in Canada, Australia and New Zealand. In the U.S., dermaPACE is currently under the FDA’s Premarket Approval (PMA) review process for the treatment of diabetic foot ulcers. SANUWAVE researches, designs, manufactures, markets and services its products worldwide, and believes it has demonstrated that its technology is safe and effective in stimulating healing in chronic conditions of the foot (plantar fasciitis) and the elbow (lateral epicondylitis) through its U.S. Class III PMA approved OssaTron® device, as well as stimulating bone and chronic tendonitis regeneration in the musculoskeletal environment through the utilization of its OssaTron, Evotron® and orthoPACE® devices in Europe, Asia and Asia/Pacific. In addition, there are license/partnership opportunities for SANUWAVE’s shock wave technology for non-medical uses, including energy, water, food and industrial markets.

About Ortho-Medico

Ortho-Medico has been a known player in the Benelux since 1987 with its full range of orthopedic aids and specific treatments as Shockwave. Ortho-Medico’s final aim, its mission, is to keep the patient as dynamic and active as possible, therefor our innovative expansion in the field of wound care and neurology. Ortho-Medico’s success is founded on a very high-quality, complete product portfolio, very close collaboration with specialists and orthopedic technicians, very quick terms of delivery, reliable advice and an attitude which is aimed at finding solutions.

Forward-Looking Statements

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to financial results and plans for future business development activities, and are thus prospective. Forward-looking statements include all statements that are not statements of historical fact regarding intent, belief or current expectations of the Company, its directors or its officers. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company’s ability to control. Actual results may differ materially from those projected in the forward-looking statements. Among the key risks, assumptions and factors that may affect operating results, performance and financial condition are risks associated with the regulatory approval and marketing of the Company’s product candidates and products, unproven pre-clinical and clinical development activities, regulatory oversight, the Company’s ability to manage its capital resource issues, competition, and the other factors discussed in detail in the Company’s periodic filings with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statement.

For additional information about the Company, visit www.sanuwave.com.

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