Princeton-based Derma Sciences Inc. is expanding its portfolio into skin substitute products used to cover wounds and burns that cause extensive skin damage, a market the company estimates at $500 million.
The pharmaceutical and medical device company is hiring to support the new product launches.
Derma Sciences said Wednesday it has licensed exclusive rights to two products from Memphis-based BioD LLC. Both products will be branded as AmnioMatrix and launched in the third quarter. BioD's products are used for traumatic injuries, burns, surgical wounds, and other wounds and defects.
Terms of the license include an upfront cash payment, royalties on product sales, additional cash incentives if sales targets are met, plus Derma Sciences stock options.
"Launching these new skin substitute products will immediately increase our top line, will be accretive to earnings beginning in year two an will accelerate our established $35 million advanced wound care product segment beyond historical growth in the 30 percent range," Derma Sciences CEO Edward Quilty said in a statement.
BioD CEO Greg Brophy said Derma's "strong record of commercializing advanced wound care products, coupled with their commitment to the regenerative medicine segment, creates a compelling opportunity to work together in building this market."
Derma Sciences plans to expand its marketing and sales team in the United States to 86. New employees are expected to be hired by mid-February.
As part of its hiring plans, Derma Sciences will add 12 sales representatives, bringing the sales team to 50. The company will also add the following positions to its marketing department: product director, reimbursement/healthcare economics director, and training and education director. In addition, Derma Sciences plans to add a regional manager, clinical field specialist, and total contact casting specialist.
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