Florida-based medtech company, Axogen has agreed to acquire BioCircuit Technologies for $200m, further bolstering its presence in the surgical peripheral nerve repair segment.
Through the all-cash deal, which Axogen expects to close in Q4 2026, the medtech company will take BioCircuit’s NerveTape under its wing – adding a new product to its portfolio that currently includes the Avance nerve graft system, as well as the Axoguard range of nerve connectors and protectors.
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This would be a notable addition to Axogen’s surgical arsenal, as NerveTape became the first sutureless peripheral nerve repair technology to secure US Food and Drug Administration (FDA) clearance back in July 2022. It works by bringing two ends of a severed nerve together via miniature hooks, which align and hold the ends together to promote healing. As NerveTape reduces an operator’s dependency on microsurgical skills, Axogen argues it they can roll the device out on a wider scale to a broad range of surgeons and care settings.
Upon the transaction’s completion, Axogen anticipates that its direct sales force, as well as its relationships with hospital contractors and surgeons, will help speed up NerveTape’s market uptake and facilitate deeper market penetration.
As the medtech company would also claim BioCircuit’s technology platform, it is also eyeing potential product development opportunities, while considering expansion into new indications.
According to Axogen’s president and CEO, Michael Dale, NerveTape’s approach “makes high-quality nerve repair simpler and more accessible for surgeons,” offering a differentiated way to simplify a challenging aspect of nerve surgery.
Axogen’s CFO, Lindsey Hartley, adds that NerveTape is an “attractive growth asset” and is expected to add to the company’s revenue growth in the future.
Competition mounts in the peripheral nerve repair market
While NerveTape was the first device of its kind to secure the FDA’s blessing, Tissium is also eyeing the sutureless market with its COAPTIUM CONNECT technology, which recently secured FDA de novo authorisation for use in peripheral nerve repair. Unlike NerveTape, Coaptium harnesses light-activated surgical gel to join severed nerve ends together within a bioresorbable, 3D printed chamber.
Because of its entirely atraumatic nature, Coaptium Connect could hold a competitive advantage against NerveTape.
Also in development for peripheral nerve repair are electronic stimulation devices. Recently, Neuraptive Therapeutics inked an exclusive licensing agreement with Washington University in St Louis for a bioresorbable peripheral nerve repair device – though this approach requires a surgical procedure.
