Fotona

Manufacturer of innovative medical laser systems for aesthetic, dental and gynecological applications

Deal Facts

AGIC acquired a majority stake in Fotona in April 2017 alongside management
Exited to Vitruvian Partners in October 2021 and reinvestment for a minority stake

Fotona is a globally leading developer of innovative solid-state medical laser systems, offering a comprehensive portfolio of application specific products for medical, dental and aesthetic treatments, with best-in-class engineering, quality and brand reputation
It commands a global commercial organisation with direct presence in key markets and a strong network of 75+ distributors covering 65+ countries
Highly attractive financial profile with double-digit revenue growth and superior profit margins

With its superior technology and brand loyalty, Fotona is poised for fast growth in a $4 billion global market driven by favorable demographic trends, greater awareness of personal health amid social media exposure and increasing preference for non-invasive procedures
Significant potential in Asia region due to growing spend on cosmetic procedures by increasing middle class, medical tourism and relative underpenetration compared to Western markets
Multiple levers for continued growth in the form of improved go-to-market approach, new product launches, bolt-on acquisitions, better management of distributors

AGIC implemented a direct go-to-market strategy in China, turned Fotona’s distributor into a subsidiary, strengthened the local management team and developed the sales & marketing force across a national network of 6 offices with ~70 employees, including a dedicated regulatory affairs team
Supported Fotona to invest into education, build-up of a global network of 500+ international and regional KOLs driving brand awareness; intensified digital marketing initiatives to shore up growth amid Covid-19 restrictions
Evaluated a number of potential bolt-on acquisition targets to leverage Fotona’s platform, complement its current footprint and offerings with differentiated expertise, product lines and geographic coverage; executed two add-on acquisitions in Europe and one distributor in China