Amplify Additive, a Scarborough-based manufacturer of 3D printed orthopedic implants, has raised a $1.1M Series A. The company will use the investment to fund its growing operations and to expand its team from four to seven employees.
Amplify is a relatively new company in the Maine startup scene. It launched in 2019 after raising seed capital from Maine Venture Fund, Maine Technology Institute, Bangor Angel Fund and several members of the Maine Angels. The recent Series A came from 17 high-net-worth individual investors, several of whom participated in the company’s first financing event.
Brian McLaughlin, founder and CEO, brought together his extensive background in the orthopedic industry and his experience in additive manufacturing to create what is the only independent design and manufacturing service utilizing Electron Beam Melting (EBM) technology that is 100% focused on orthopedic implants.
Electron-beam additive manufacturing is a type of 3D printing for metal parts. Titanium metal powder is placed under a vacuum and fused together by heating by an electron beam. This process is particularly well suited for orthopedic implants and the aerospace industry.
Between 2014 and 2016, McLaughlin helped to launch Arcam’s EBM technology in the US, which was subsequently acquired by GE. Amplify Additive now owns and operates three GE Additive EBM machines.
Orthopedic implants are used to replace damaged or missing bones or joints. A growing geriatic patient population with osteoporosis-related fractures has driven increasing demand for orthopedic implants. EBM manufacturing techniques allow for rapid prototyping and unique surface characteristics that cannot be addressed by normal manufacturing.
The lattice structure of the printed titanium is biocompatible allowing bone to grow into the structure to better distribute loads. The result is a half natural bone, half implant that acts much more like the real thing than traditional cast-metal implants. Titanium EBM printed implants, such as those manufactured by Amplify Additive, result in better patient outcomes, according to McLaughlin.
The orthopedic implant market is expected to grow to $64 billion by 2026, according to a study by Fortune Business Insights. EBM printed implants are currently a small, but rapidly growing subsection of the large implant market.
“The 3D printed implant market is growing by 30% per year. There are not enough suppliers to service this growth,” McLaughlin said.
Amplify’s primary customers are small- and medium-sized medical device companies with a novel implant design that utilizes 3D printing. McLaughlin noted that the spine, total joint, and reconstruction markets are particularly well suited to additive manufacturing.
“We help our customers from design, through FDA approval, and into scaled manufacturing,” said McLaughlin.
Speed to market is a key differentiator for Amplify.
“Last year we helped a customer go from design to FDA approval in 9 months, a process that normally takes twice as long,” McLaughlin said.
Once the product is FDA approved, Amplify becomes the manufacturer of record for the implant. Essentially, Amplify becomes part of the recipe for the new product, making it very difficult and expensive to switch manufacturers.
McLaughlin said he expects Amplify will help several products receive FDA approval in 2021, which means it will need to continue to grow its manufacturing capabilities. McLaughlin has plans to grow Amplify to 20 machines and 22 employees.
While it has been difficult to attract employees with orthopedic and additive manufacturing backgrounds to Maine, McLaughlin said the state has resources that make it a good place to operate and grow the company.
Amplify Additive has received support from Maine Technology Institute, Maine Venture Fund, and the Finance Authority of Maine and is currently working on a project with the University of Maine. The company fits into Maine’s advanced materials and precision manufacturing targeted technology sectors.
