In late August 2016, Henry Schein, Inc. (NASDAQ: HSIC) announced its seventh dental acquisition since 2014. The acquisition of Marrodent gave the global dental products giant a presence in Poland, where Marrodent distributes dental equipment and dental laboratory supplies.
With this addition, Henry Schein’s dental business now has operations or affiliates in 27 countries. In 2014, Henry Schein purchased five European dental companies from Arseus NV (EBR: RCUS), as well as New Jersey-based Lincoln Dental Supply, a supplier of dental products and equipment, and France-based Sirona Direct, the dental distribution business of Sirona Dental Systems Inc. (NASDAQ: SIRO).
In 2015, the company acquired ADS Florida, LLC, one of the largest dental practice transition, appraisal and brokerage companies in Florida, and Italy-based Dental Trey, which provides dental products to practices across Italy, including a dental practice management software system.
In 2016, in addition to its Marrodent purchase, Henry Schein has acquired Dental Cremer S.A., the dental distribution business of Cremer S.A. Dental.
It’s clear that Henry Schein is still on the acquisition trail in the fragmented dental distribution market. In a recent 10-Q filing, the company noted that purchasing decisions for a single dental office are typically made by the dentist or the administrative assistant. Thus, “supplies and small equipment are generally purchased from more than one distributor, with one generally serving as the primary supplier.” No doubt, Henry Schein is angling to become the primary supplier, worldwide.
