MiMedx (MDXG) is an integrated developer, processor and marketer of patent protected and proprietary regenerative biomaterial products and bioimplants processed from human amniotic membrane and other birth tissues and human skin and bone. In an exclusive interview with The Fly, CEO Parker H. "Pete" Petit talked about the company's expectations for 2017, the pain management opportunity for the company, potential regulatory easing, and much more.

Here are some of the highlights:

OUTPERFORMANCE TO CONTINUE: While MiMedx's first quarter is typically a challenging one, the company saw outperformance driven by Wound Care and Surgical and Sports Medicine and Orthopedics. Commenting on the news, CEO Petit said the outperformance was helped by "investments we made last year in sales, informatics and new products," adding that he expects the "strong performance to continue through 2017 and beyond." "We had some growing pains when rolling out our new sales management system at the beginning of 2016. These were quickly resolved, and in the third quarter, this system started contributing significantly to growth," the executive noted.

PAIN MANAGEMENT OPPORTUNITY: Recently, Piper Jaffray analyst Matt O'Brien called MiMedx's move into pain management a "large, untapped opportunity for the company." Petit believes the "most exciting" possibility in this space is the potential to slow down the progression of osteoarthritis. "We have seen signals of attenuation of small cartilage defects in small animal studies. If these data hold up in larger animals and humans, MiMedx has a real blockbuster in its hands," the CEO explained.

LOWER REGULATORY BURDENS: Discussing the possibility of lower regulatory burdens as hinted by the Trump administration, Petit said he believes "it will be beneficial not only for MiMedx but for all of American business and our economy. [...] The interim Commissioner, Dr. Robert Califf, made changes and was certainly very focused on science based regulatory decisions. [...] I fully expect him to follow President Trump's directive to all Federal Agencies regarding any new regulations must result in two other regulations being retired," the chief executive noted.

NEW FDA COMMISSIONER: MiMedx saw FDA's announcement that it has not included guidance on HCT/Ps on its 2017 calendar as "encouraging." Commenting on what the new Trump's nominee for FDA Commissioner, Scott Gottlieb, views on the matter might be, the company's CEO said Gottlieb "is well aware that there are other less onerous regulatory pathways that need to be utilized particularly with human tissue and stem cells. He understands clearly that the recently passed 21st Century Cures Bill has asked the FDA to find a pathway for certain tissues, drugs and devices that will reduce the regulatory burden."

MISCONCEPTIONS: Noting that sometimes investors cannot "see the forest for the trees," MiMedx's Petit pointed out that they have become "too focused on the possibility of some new competitor taking significant market share away which has not happened and is going to be difficult to accomplish." Furthermore, the CEO noted that MiMedx is "becoming a biopharma company not just a wound care company with opportunities in certain surgical areas." "In the months ahead, we will be announcing the preliminary results of our phase IIb trial on the micronized version of our allografts for the use for plantar fasciitis. We will also be announcing the filing of several additional INDs for other uses of our products [...] At that point, I certainly believe that investors will fully understand the value of the assets that we have built, particularly our technology platform," the executive pointed out. "Meet the Company" is The Fly's recurring series of exclusive short interviews with Executive Officers to offer a deeper look inside the company. A more detailed version of this interview to follow.

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