Sijimedtec Absorbs Digital Dentistry Company 'GDS' Through Merger

Integration of Sigimedtec and GDS
R&D and Production Capabilities Combined for Enhanced Efficiency

Orthopedic implant research and manufacturing company Sigimedtec announced on the 14th that it will merge with the digital dentistry company 'GDS' on May 29. This merger is a strategic decision aimed at maximizing operational efficiency by integrating research and development (R&D) and production capabilities, and fostering sustainable growth in the medical device market.

GDS became a wholly owned subsidiary of Sigimedtec last August when Sigimedtec acquired 100% of its shares. This merger will be conducted as a no-new-share issuance merger, with Sigimedtec holding 100% of GDS shares. No new shares will be issued. Accordingly, there will be no changes in Sigimedtec’s shareholder structure after the merger, and the continuity of existing businesses will be maintained. Furthermore, based on the operational experience accumulated since the acquisition, the company plans to strengthen organizational and production efficiency and continuously enhance competitiveness in the medical device market.

GDS manufactures and sells essential medical devices for artificial tooth procedures, such as abutments that connect fixtures (the root part of implants) and crowns (the head part of implants). The company focuses particularly on product development utilizing digital dentistry technology. Digital dentistry applies digital technologies such as 3D scanners, CAD/CAM (computer-aided design and manufacturing), and 3D printing to improve the precision of dental treatments and streamline treatment processes. It enables faster and more precise customized artificial tooth production compared to traditional methods and is used to enhance the accuracy of implant procedures. GDS is also planning to launch a digital cementless system that does not use adhesives.

The global market for abutments for artificial teeth is rapidly growing. Especially, the custom abutment segment is showing remarkable growth. According to Fortune Business Insights, the global market size for abutments for artificial teeth was approximately $1.14 billion (about 1.6591 trillion KRW) last year. It is projected to grow at a compound annual growth rate (CAGR) of 6.3% from $1.21 billion (about 1.761 trillion KRW) this year to $1.85 billion (about 2.6924 trillion KRW) by 2032.

Custom abutments recorded the highest market share last year and are expected to continue growing steadily. This is due to the increasing demand for custom abutments driven by the rise in oral diseases and the expansion of implant procedures. Additionally, advancements in custom artificial tooth manufacturing technologies using titanium and zirconia materials, along with the adoption of CAD/CAM and 3D printing technologies, have enabled precise custom abutment production, further accelerating market growth.

Sigimedtec has over 30 years of experience and continuous R&D efforts in developing and manufacturing high-difficulty human implant medical devices. The company has earned recognition for its technology by obtaining quality certifications for medical devices from major global authorities such as the U.S. FDA (Food and Drug Administration) and the European CE (Conformit? Europ?enne) mark. To secure competitiveness in the rapidly growing global dental medical device market, Sigimedtec plans to actively expand its business into the digital dentistry field through this merger. In particular, by combining GDS’s precision processing technology with Sigimedtec’s global quality certification expertise, the company aims to establish a world-class quality system and accelerate global market entry based on certifications from key countries.

Jung Jumi, CEO of Sigimedtec, stated, "The merger with GDS will be an important turning point for Sigimedtec to build a stronger growth foundation. We plan to systematically organize operations by integrating the R&D and production capabilities of both companies and further strengthen product competitiveness."

She added, "Especially through this merger, the combination of Sigimedtec’s existing orthopedic implant business and GDS’s digital dentistry technology is expected to expand our portfolio and create business synergies across the medical device sector. We will enhance our competitiveness in the global market based on next-generation technologies such as the digital cementless system."

The merger process is expected to be officially completed with the registration of the merger on June 2. Through this, Sigimedtec plans to establish a more efficient business structure and continue sustainable growth in the global medical device market.