Southern Cross Dental Laboratories ("SCDL")
|Industry||Dental products and supplies
|Investment Date||June 2012|
|Original Deal Size||A$96m|
Southern Cross Dental Laboratories (“SCDL”) provides a variety of products and services to dentists, small laboratories and dental schools in Australia, NZ, Ireland and the UK. These products and services include:
High quality fixed and removable dental prosthetics such as crowns, bridges, dentures and implants custom manufactured by labs in China and the USA;
The exclusive supply of Invisalign in Australia to dentists that have completed the accreditation course run by SCDL. Invisalign is a near invisible orthodontic system that acts as an alternative to traditional braces; and
Provision of education services and other associated products and services.
Major attractions of the opportunity were:
SCDL holds a market leading position and is the lowest cost provider;
Low propensity of dentists to switch once satisfied with product;
Growth driven by increased market penetration due to pricing and quality;
Further growth in new markets where initial footprint exists (NZ, Ireland, US);
Backing an experienced founder and CEO who retains a significant stake in the business;
Low reliance on Government funding and Private Health Insurance; and
Many other attractive growth opportunities from systems improvements, product innovation, entering other overseas markets and acquisitions.