CANTEL MEDICAL CORP

CANTEL MEDICAL CORP

Previous company name
CANTEL INDUSTRIES INC
Name change date
7/3/1992
Company Overview
Cantel Medical Corp., incorporated in 1963, is a US-based company engaged in the production and supply of infection prevention and control products for healthcare market. Its shares are traded on the New York Stock Exchange under the ticker symbol . The company’s corporate headquarters is located in Little Falls, New Jersey.
Cantel Medical is a leading provider of infection prevention and control products in the healthcare market. The company operates through four businesses: Minntech, Crosstex, Mar Cor Purification, and Saf-T-Pak.
Minntech is a leader in developing, manufacturing, and marketing medical devices, sterilants, and water purification products. The Minntech products are used in kidney dialysis, open-heart surgery, endoscopy, and in the preparation of pure water for medical, industrial and laboratory use.
Crosstex designs, develops manufactures, markets and distributes single-use infection control products used principally in the dental market. This business has approximately eight manufacturing/distribution facilities around the world – 5 in the United States and 3 internationally.
Mar Cor Purification provides water purification equipment design and manufacturing, project management, installation, maintenance, deionization and mixing systems, filtration and separation products and disinfectants to the medical, pharmaceutical, biotechnology, research and other industrial markets. This business has service offices in approximately 15 cities in the United States and Canada with six ion exchange resin regeneration plants strategically located in Atlanta, Boston, Chicago, Philadelphia, Montreal and Toronto.
Lastly, Saf-T-Pak provides specialty packaging and thermal control products, as well as related compliance training for the transport of infectious and biological specimens and thermally sensitive pharmaceutical, medical and other products. This business was founded in 1988 with a mission to provide packaging that met the requirements for the transport of infectious substances.
In September 2007, Cantel Medical acquired Strong Dental Products, Inc., which designs, markets and sells a complete range of dental x-ray comfort cushions and protection devices. The Strong Dental products are sold by all major dental products distributors and are in use around the world.
Business Summary
Cantel Medical Corp. (Cantel) is a provider of infection prevention and control products and services in the healthcare market. The Company operates in seven segments: Water Purification and Filtration, Healthcare Disposables, Endoscope Reprocessing, Dialysis, Therapeutic Filtration, Specialty Packaging and Chemistries. Water Purification and Filtration include water purification equipment and services, filtration and separation products, and disinfectants used for the medical, pharmaceutical, biotech, beverage and commercial industrial markets. On October 6, 2010, the Company completed the acquisition of the United States water purification business of Gambro Renal Products Inc. (Gambro) to manufacture and sell Gambro’s water treatment products used in the production of water for hemodialysis. On June 1, 2010, Mar Cor completed the acquisition of Purity Water Company of San Antonio, Inc. (Purity).
Description and history
Cantel Medical Corp. (Cantel) is a provider of infection prevention and control products and services in the healthcare market. The Company operates in seven segments: Water Purification and Filtration, Healthcare Disposables, Endoscope Reprocessing, Dialysis, Therapeutic Filtration, Specialty Packaging and Chemistries. Water Purification and Filtration include water purification equipment and services, filtration and separation products, and disinfectants used for the medical, pharmaceutical, biotech, beverage and commercial industrial markets. On October 6, 2010, the Company completed the acquisition of the United States water purification business of Gambro Renal Products Inc. (Gambro) to manufacture and sell Gambro’s water treatment products used in the production of water for hemodialysis. On June 1, 2010, Mar Cor completed the acquisition of Purity Water Company of San Antonio, Inc. (Purity). During the fiscal year ended July 31, 2010 (fiscal 2010), Cantel had five wholly owned subsidiaries Minntech Corporation (Minntech), Crosstex International, Inc. (Crosstex), Mar Cor Purification, Inc. (Mar Cor), Biolab Equipment Ltd. (Biolab) and Saf-T-Pak Inc. (Saf-T-Pak).

Water Purification and Filtration

The Company designs, develops, manufactures, sells, installs and services water purification systems and accessories for dialysis and other healthcare applications, research laboratories and pharmaceutical, beverage and commercial industrial customers. The Company’s product line of water purification systems has been designed to produce biologically pure water targeted for use in the healthcare, life sciences, food and beverage, and commercial industrial markets. It also packages these same technologies and expertise in industrial designs to meet the requirements for high purity water in the commercial industrial markets, such as boiler feedwater production or high quality rinsewater production. Its HX product line provides total heat disinfection of the entire water purification system and water distribution loop.

The Company’s line of equipment includes the Biolab equipment line of reverse osmosis (RO) machines 2200, 3300, 4400, 8400, reverse osmosis deionized (RODI) combination RO and electro-deionization system, and heat disinfecting configurations, as well as the 23G, Zyzatech V and Z series, and the Millenium, a medical portable reverse osmosis unit. These product lines in the United States include product lines licensed in the Gambro Acquisition, including the WRO 300, WRO 300H, CWP 100, WRO 101-104 and 106H, a heat disinfecting system. The Company also offers pretreatment equipment, lab water equipment, a range of service deionization tanks and specific equipment designed to support the life sciences and industrial markets, including peripheral equipment, such as carts, bicarbonate and acid delivery systems with central and single mix distribution units, and concentrate systems with central concentrate holding tanks.

The Company offers a range of filters utilizing hollow fiber membrane technology. Its cartridge filters remove endotoxins in dialysis water. The filters are also used in medical device reprocessing systems to help meet reprocessing water quality. The Company’s FiberFlo filters are also being used in a range of industries, including pharmaceutical manufacturing, food and beverage processing, cosmetic manufacturing and electronics manufacturing.

The Company’s other products include microfiber and flat sheet membrane prefiltration products designed to protect the FiberFlo filter products and prolong their life in their intended applications. Minncare Cold Sterilant is a liquid sterilant product used to sanitize and disinfect high-purity water systems. Minncare Cold Sterilant is based on its peracetic acid sterilant technology, and is engineered to clean and disinfect RO membranes and associated water distribution systems.

Healthcare Disposables

The Company is a manufacturer and reseller of single-use, infection control products used in the dental office market. It offers a range of core disposable dental products, consisting over 60 categories of dental merchandise, including face masks, sterilization pouches, towels and bibs, tray covers, saliva ejectors and evacuators, germicidal wipes, plastic cups, surface barriers, eyewear, disinfectants and cleaners, hand care products, gloves, prophy angles, cotton products, needles and syringes, scalpels and blades, prophy pastes, and fluoride foams and gels.

Endoscope Reprocessing

The Company designs, develops, manufactures and sells endoscope reprocessing systems, sterilants, detergents and related supplies. Its automated endoscope reprocessing equipment is designed to pre-rinse the device, and then continuously pump disinfectant around the endoscope and through all of its internal working channels, resulting in thorough and consistent high- level disinfection. After the disinfection phase, all internal channels and external surfaces are thoroughly rinsed to completely remove any disinfectant residue. Its Medivators product portfolio represents the offering of capital equipment, chemistries, consumables and services that are used to pre-clean, leak test, clean and disinfect flexible endoscopes from the point of removal from a patient through utilization in the next patient procedure.

The Company’s Medivators line of endoscope reprocessing systems includes several automated systems, such as the Advantage, Advantage Plus and DSD-201 systems, which are microprocessor-controlled, dual-basin, asynchronous endoscope disinfection systems, and the SSD-102, which is a single-basin version of the DSD-201 system. All of the automated disinfection machines can be used on a range of endoscopes and are programmable by the user.In April 2010, Medivators received clearance from the Food & Drug Administration (FDA) to market DSD-Edge, a single-use chemistry version of the DSD-201.

In connection with the Company’s endoscope reprocessing business, it manufactures Rapicide glutaraldehyde-based disinfectant and sterilant for a disinfection claim of five minutes at 35 degrees Celsius. Its product offerings also include Intercept Detergent and Wipes, which are formulated especially for the cleaning and removal of biological and organic soils from medical device surfaces, including flexible endoscopes.

Dialysis

The Company designs, develops, manufactures and sells reprocessing systems and sterilants for dialyzers, as well as dialysate concentrates and supplies utilized for renal dialysis. Its dialyzer reprocessing products include the Renatron II Automated Dialyzer Reprocessing System (Renatron System), the Renalog RM Data Management System and Renalin Cold 100 Sterilant, a peracetic acid based sterilant.

The Renatron System provides an automated method of rinsing, cleaning, testing and sterilizing dialyzers for reuse. The Renatron System includes a bar-code reader, a computer and the Renalog RM Data Management System, a software accessory that provides dialysis centers with automated record keeping and data analysis capabilities. Its Renalin 100 sterilant is a peracetic acid-based formula that, when used with its Renatron System, cleans, disinfects and sterilizes dialyzers without the hazardous fumes and potential disposal issues related to glutaraldehyde and formaldehyde reprocessing solutions.

The Company manufactures a product line of test strips to measure concentration levels of the peracetic acid chemistries it produces. It also sells a range of dialysis supplies manufactured by third parties. Its field service personnel, dialysis center technicians and international third-party distributors install, maintain, upgrade, repair and troubleshoot equipment. The Company’s renal dialysis treatment products include a range of acid and bicarbonate concentrates. Dialysate concentrates are used in the dialysis process, whether single-use or reuse dialyzers are being utilized.

All Other

The Company provides specialty packaging and thermal control products for the transport of infectious and biological specimens, as well as thermally sensitive pharmaceutical and medical products. It provides compliance training services for the safe and proper transport of infectious and biological specimens, as defined by various international and national regulatory organizations. The Company’s products include the Saf-T-Temp brand line of phase change materials (PCM) using thermal technology for temperature-controlled shipments. These phase change materials help maintain thermally sensitive specimens and products, such as vaccines, pharmaceuticals and diagnostic reagents, within a discrete temperature range during shipment.

The Company offers a range of training options allowing the customer to choose the method that best meets its needs. It provides open enrollment symposium-style training seminars in various cities, private seminar training at customers’ on-site locations, as well as self-paced Internet and compact disc (CD) software. During fiscal 2010, it added Spanish as an additional language option to its existing English and French language options for its CD software and Internet training programs.

The Company’s therapeutic filtration products are extracorporeal filters utilizing its hollow fiber technology. These filters include hemoconcentrators, hemofilters and specialty filters utilized for therapeutic medical applications. The Company manufactures, markets and sells a range of hemoconcentrators. Its products are the Hemocor HPH hemoconcentrators, which contain its polysulfone hollow fiber and also feature a no-rinse design that allows it to be quickly and efficiently inserted into the bypass circuit at any time during an open-heart procedure.

The Company manufactures, markets and sells a range of Renaflo II hemofilters. A hemofilter is a device that performs hemofiltration in a slow, continuous blood filtration therapy used to control fluid overload and acute renal failure in unstable, critically ill patients who cannot tolerate the rapid filtration rates of conventional hemodialysis. During fiscal 2010, in addition to providing filters and filter technologies to biotech manufactures, it had also signed agreements with certain customers to distribute their finished products in specific international markets.

The Company’s Chemistries operating segment is the combination of a small portion of its existing sterilant business, consisted of products sold on an original equipment manufacturer (OEM) basis and previously recorded in its Water Purification and Filtration segment. It supports and drives the pipeline of new chemistry-based products for existing Cantel companies, manages and grows the existing OEM chemistry related businesses and is responsible for building new business revenues specific to the Chemistries Group.It’s Area Decontamination System, which utilizes chemical sterilant and dry fog technology to disinfect rooms ranging from sports facilities, commercial and residential properties and bio safety labs to hospital operating rooms. As part of this service it also offers a antimicrobial agent that provides a protective layer on surfaces and other materials that assists in preventing recontamination of the area and transfer of infectious agents to humans.

The Company’s detergents and disinfectants are based upon a range of chemicals and provide cleaning and disinfection in many healthcare environments. Its REVOX sterilization service offers a resource for companies attempting to avoid compatibility issues associated with eliminating toxic residues or maintaining functionality with their heat sensitive devices.

The Company competes with Kimberly-Clark, 3M ESPE, Danaher/Sybron, Dentsply/Sultan Healthcare, Amcor, Steris, Custom Ultrasonics, Olympus, Johnson & Johnson, Metrex, Ruhof Ecolab and Fresenius.

Business Line
Engaged in the production and supply of infection prevention and control products for healthcare market
Subsidiary
BIOLAB EQUIPMENT LTD
Advisor
ERNST & YOUNG LLP
IPO date
5/29/2002
US SIC Code
3841
Company Address
150, Clove Road

City province or state postal code
07424, LITTLE FALLS, NJ
Phone: +1 973 890 7220
Fax: +1 973 890 7270
Country address: UNITED STATES OF AMERICA
Website url: www.cantelmedical.com