Coloplast Strategic review

[star_of_pramen]

Coloplast the makers of the Titan have decided to place their Interventional Urology business under a strategic review. Below is the commentary they provided at JPMorgan conference today in London

"Strategic review of the urology business – Post the mesh litigation, we have decided that penile implant business is rather risky so this business is currently under review. It has grown double digit with margins slightly below group. No timeline provided for an update on the outcome"

Rather risky? Are they getting litigation claims against the implant from patients?

[warrenw]

"That’s corporate speak for potentially selling it."

The lawsuits are related to their "transvaginal surgical mesh products", not their Titan IPP.

More details here: https://www.massdevice.com/coloplast-could-sell-its-interventional-urology-business/

[LeRoastBeef]

As someone who is keen for a titan, I find this very concerning.

Do you think they may cease production?

[alfa88]

I saw a Netflix documentary where hubby got his woo-hoo sliced by his wife's mesh. Looks like too little testing on Coloplast's part. Looks like they need some quick money by selling off their IPP line.

[Gt1956]

I think the business logic goes along this line. Selling the product line divests the parent company of the future product liability judgements. The new owner, likely a smaller company, with not so deep pockets. Won't be saddled with as large of judgements because they don't have the $$. So it's a win win.
Old owner gets money, new owner buys a proven company with a steady selling product at a discount. You can argue about the fairness to the injured parties. But businesses seldom have fairness in mind.
Once the product liability issues are resolved. I'm guessing the small company will sell it for a nice profit since the issue has been settled.
Just my own simplistic view of the news. More than willing to hear contrasting views. No hurt feelings on my part.

[SW0110]

With the advent of viagra and cialis implant installs have dropped over the past 10 years. Profit margins are dropping probably. Although still a lot of money to be made.

25,000 implants a year times about 8,000 dollars. That is what about 200,000,000. Probably drop in bucket to viagra and cialis sales.

I have a titan. Not real concerned. Why worry about something you cannot change. Would be a pain if both companies went out of business, but for me it would have made no difference. Might not get a warranty though. Hope I do not need it.

I could not get an erection for sex before implant for most of last 3 years. If the titan quit working and there was nothing else to take its place I am no worse off than I was. Soft penis no penetrative sex.

With technology maybe something else will take its place in the future.

[Gt1956]

If a product is viable & profitable then someone will buy it & run the company.
As for competition from the drug side. I think most of us have seen that the effectiveness of them can be limited. So there will be men that have been getting erections from drugs. Once they quit working they'll be beating on their doctors door pretty hard. The doctor will say it was a nice run but you're done. Next step will be an implant. It'll take some time but if this group wants a penis that works, they'll be standing in line at the surgeons office. Every year produces a new group of patients. I think the implant makers understand this & are willing to take what profits it produces.

[alibaba]

Look at the stock market now. Good time to sell. Companies are selling for so many times more than their earnings they could never be worth what their stock is if financed by conventional bank financing nor support amortization. New IPO's of companies that STATE they do not expect to make a profit for 5 to 7 years are being valued in the billions. Hype up a dick fix and you are worth a fortune. Have liability issues like Monsanto? Dump it off on Bayer, or like GM, that company no-longer exists because we are a new company now. Sorry, your tough luck. Chopping companies into pieces makes each segment independent of the liability of other divisions of a whole company. The revision rate of all implants is too high in my opinion. Like one company I am familiar with, they offered a long warranty. The problem was, that vinyl company changed their name every year or 2 and as the product failed, the purchaser was told that company no-longer exists thus there is no warranty. I watched them do it for 15 years and kept a folder on each subsequent new name despite them still having the same address and phone numbers. Their inferior product is still sold across the United States and Canada. The bigger question is with Coloplast, will it be found they made the penile implants out of fake and inferior Chinese imported plastics that fail like the mesh implants? Did they certify the plastic to be U.S. made plastic and of implant grade or was it faked like the other products? Do you have another Takata air bag inside you to boost corporate profits?

[navy6587]

Interesting discussion...as far as I'm concerned, Coloplast can be gone as an implant producer and, along with their product, their regional reps who are ass holes to say the least!! None of them, in my region (South Central VA) will comment to patients about anything operational or q's. Only people they will talk to are their surgeons. Far as I'm concerned, they could dry up and fire every God damned rep!!! They are absolutely useless!

[LeRoastBeef]

Could someone who is in touch with one of the major implant surgeons ask them to comment on what is going on and likely to happen?