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Hanger Acquires

Hanger Orthopedic Group of Bethesda acquired:

• Maine Artificial Limb Co.
• Orthotics Center
• Rocky Mountain Orthotic-Prosthetics Center
• Riessen's Orthopedic and Prosthetic Services
• First Coast Orthotics & Prosthetics
• Orthopedic Rehabilitation Products

adding patient care centers to its existing markets in Maine, Louisiana, Colorado, Washington and Florida, plus stock and bill rehabilitation services to its Colorado market. They total $8.9 million in annual revenues.

Langer Sells to TOG

Only months after Langer sold its Bi-Op subsidiary for less than its purchase price, the company announced the sale of its custom orthotics business to The Orthotic Group (TOG), a manufacturer of prescription custom foot orthotics, orthotic footwear and gait analysis equipment. TOG paid approximately $4.7 million in cash at closing. The deal includes Langer’s Deer Park, NY facility as well as its sales office in Markham, Ontario.

Net proceeds, after transaction costs, are $4.1 million. Langer expects to recognize a minimal gain on the sale.

The selling is part of Langer’s stated strategy of simplifying the company’s business and reducing corporate and compliance expenses. As part of this effort, Langer divested its UK subsidiary to Sole Solutions for $1.2 million in cash and notes.

2007 was a challenging year for the company; Langer seems to have lost focus in an attempt to grow aggressively. While the company’s Silipos subsidiary performed well, its newly acquired Twincraft and Regal businesses did not. Blame the economic downturn, perhaps. The cost of maintaining these businesses on a corporate level remains high relative to profits.

Twincraft and Silipos offer a diverse line of bar soap and other skincare products for the private label retail, medical and therapeutic markets.

BridgePoint & Reynolds

BridgePoint Medical, Lexington, Kentucky, an independently owned prosthetic and orthotic company, announced it has acquired Reynolds Prosthetics & Orthotics Inc., located in the Knoxville area, and retained John Reynolds, CPO, as an owner-operator. The acquired entity will retain its name and locations in Maryville and Oak Ridge, Tennessee, and will continue to offer the same patient care without interruption.
(The EDGE)

Hanger Orthopedic Group, Inc. Announces the Acquisition of the Assets of Surefit, LLC

BETHESDA, Md., July 9 /PRNewswire-FirstCall/ — "Hanger Orthopedic Group, Inc. (Hanger) (NYSE: HGR) is pleased to announce that its wholly-owned subsidiary, Southern Prosthetics Supply, Inc. (SPS) has acquired certain assets of SureFit, LLC (SureFit), a leading manufacturer and distributor of therapeutic footwear for diabetic patients in the podiatric market....

...Hanger Orthopedic Group, Inc. headquartered in Bethesda, Maryland, is the world’s premier provider of orthotic and prosthetic patient care services. Hanger is the market leader in the United States, owning and operating 619 patient care centers in 45 states and the District of Columbia, with 3,461 employees including 1,027 practitioners (as of 3/31/07). Hanger is organized into four units. The two key operating units are patient care which consists of nationwide orthotic and prosthetic practice centers and distribution which consists of distribution centers managing the supply chain of orthotic and prosthetic componentry to Hanger and third party patient care centers. The third is Linkia which is the first and only provider network management company for the orthotics and prosthetics industry."

Benchmark Medical and Physiotherapy Associates to combine.

Pa., Tenn. therapy chains set to merge

By Stacey Burling
Inquirer Staff Writer

"Benchmark Medical Inc., an outpatient physical-therapy chain based in Malvern, is merging with Physiotherapy Associates Inc., of Memphis, to form a company that will operate more than 800 clinics, employ 5,500 people, and generate revenue of $420 million, the companies' owners announced yesterday.

Bill Floyd, chief executive officer of Benchmark, will be CEO of the merged company, which will use the Physiotherapy Associates name.

Water Street Healthcare Partners, a Chicago private-equity firm, had recently acquired Physiotherapy for $150 million. Wind Point Partners, also a Chicago private-equity firm, formed Benchmark in 2000. The two equity firms will be the majority owners of the new company.

Financial terms of the deal between Benchmark and Physiotherapy were not disclosed...."

Langer buys Regal

From PRNewswire

DEER PARK, N.Y., Dec. 18 /PRNewswire-FirstCall/ -- Langer, Inc. (Nasdaq: GAIT, "Langer" or the "Company") today announced that on Friday December 15th it signed a definitive agreement to purchase substantially all of the assets of Regal Medical Supply, LLC ("Regal") through Langer's wholly- owned subsidiary Regal Acquisition Co. 

Regal is a Board for Orthotist/Prosthetist Certification accredited supplier of contracture management products and services focused on the long term care market with 24 sales representatives covering both chain and independently operated skilled nursing and assisted living facilities in 22 states.  The purchase price is approximately $1.64 million, including the satisfaction of certain obligations to affiliated parties in exchange for the delivery of excess working capital.