Henry Schein acquires majority stake in Biotech Dental

Oct 20, 2023

April 6, 2023 By Sean Whooley

Henry Schein (Nasdaq:HSIC) announced today that it completed the acquisition of a majority ownership stake in Biotech Dental.

Salon-de-Provence, France-based Biotech Dental provides dental implants, clear aligners and digital dental software. Melville, New York-based Henry Schein announced its plans to acquire a majority stake on Dec. 16, 2022.

Biotech Dental's offerings include Nemotec, an integrated suite of planning and diagnostic software. Nemotec uses open architecture to connect disparate medical devices and create a digital view of the patient. This offers greater diagnostic accuracy and an improved patient experience, according to a news release.

The company also offers custom abutments and implants under the Kontact brand and clear aligners under the Smilers brand. Biotech Dental also launched LaGalaxy, an open and secure software platform for clinical and administrative tasks. Altogether, the company offers speedy treatment time and lower costs of implants, orthodontic and prosthetic treatments, Henry Schein said.

"We at Henry Schein welcome our new Biotech Dental colleagues and are most excited about the opportunity to bring Biotech Dental's software products to our customers," said Stanley M. Bergman, chair and CEO of Henry Schein. "Together with our existing portfolio of software products, Henry Schein and Biotech Dental will create a digital workflow that provides a seamless journey for our customers to increase case acceptance and improve clinical outcomes for practitioners. The integration of Biotech Dental's software with Henry Schein One's industry-leading practice management software solutions will help customers streamline their clinical as well as administrative workflow for the ultimate benefit of patients."

Henry Schein and Biotech Dental say they are "mutually invested in the growth of these businesses and the Biotech Dental brand globally."

Under the terms of the transaction, Upperside Capital Partners Group continues to own a remaining minority interest in Biotech Dental. The company brought in revenues of approximately $100 million in 2022. Henry Schein expects a slightly dilutive impact on its 2023 earnings per share as a result of the transaction. The companies declined to disclose financial terms.

Philippe Veran, Biotech Dental founder and President, remains in charge of the business. Dr. Olivia Veran, SVP and managing director, remains on board in support of Philippe Veran. Biotech Dental maintains its own brands and go-to-market strategies under the agreement. Henry Schein expects Philippe Veran to work closely with its management team to advance growth.

As part of the transaction. both Philippe and Olivia Veran become minority partners in Henry Schein Orthodontics. This enables the companies to offer a best-in-class, comprehensive set of orthodontic solutions to a combined customer base. That includes software, aligners and traditional orthodontic appliances.

"We are very pleased to complete our partnership with Henry Schein, a company that shares our commitment to provide dentists, orthodontists, and dental laboratories with the specialized tools they need to provide quality care to their patients," said Philippe Veran. "This investment marks a new chapter for our customers, who will benefit from the innovation and new technologies we will bring to the global dental community as well as access to a wide array of products and services available through Henry Schein."

Filed Under: Business/Financial News, Dental, Featured, Implants, Mergers & Acquisitions, Wall Street Beat Tagged With: Biotech Dental, Henry Schein