Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

An Unexpected Turn In Wright Medical's Attempts To Get Augment To Market

Wright Medical's (NASDAQ:WMGI) acquisition of BioMimetic Therapeutics and its Augment biological product for bone healing has been almost nothing but trouble. At seemingly every turn the FDA has thrown up obstacles to Augment, quibbling about the use of CT scanning, demanding re-readings of scans by additional radiologists, requiring antibody testing, and forcing the company to count unrelated secondary surgeries as product failures.

The end result is that the FDA has refused on multiple occasions to approve Augment, putting the $190 million acquisition (excluding potential future contingent payments) at real risk. Wright Medical isn't going down without a fight, though, having appealed the FDA's last rejection. On Monday March 10, though, a new development arose that while not...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details