VVOS - Vivos Therapeutics Closes $7.5 Million At-The-Market Private Equity-Backed Investment and Launches Strategic Marketing and Distribution Alliance | Benzinga
Alliance with Sleep Treatment Provider in Colorado Marks Critical Pivot in Vivos' Marketing and Distribution Model Aimed at Enhancing Revenue Streams and Potential Profit
Private Placement Investment Sponsored by Seneca Partners, Who Will Also Provide General Management Advisory Services to Fuel Growth Prospects
LITTLETON, Colo., June 12, 2024 (GLOBE NEWSWIRE) -- Vivos Therapeutics, Inc. ("Vivos" or the "Company") (NASDAQ:VVOS), a leading medical device and technology company specializing in the development and commercialization of highly effective proprietary treatments for sleep-related breathing disorders (including all severities of obstructive sleep apnea (OSA) in adults), today announced the execution of a strategic marketing and distribution alliance with an operator of multiple sleep testing and treatment centers in Colorado.
This alliance, which Vivos hopes will be the first of a series of similar alliances across the country, marks an important pivot in Vivos' marketing and distribution model for its cutting edge OSA appliances.
Vivos also announced the related closing of a $7.5 million equity growth investment from New Seneca Partners, Inc. (Seneca), a leading North American private equity sponsor based in Southfield, Michigan. This investment materially bolsters Vivos' cash on hand and stockholders' equity and will facilitate the launch of the new strategic alliance and potentially other similar alliances, which is expected to positively impact Vivos' revenue growth.
Under the new alliance, Vivos and the sleep center operator have agreed to collaborate to offer OSA patients a full spectrum of evidence-based treatments such as continuous positive airway pressure (CPAP) machines, and Vivos' advanced, proprietary and FDA-cleared CARE oral medical devices, oral appliances and additional adjunctive therapies and methods offered by Vivos. The program will commence in two existing sleep treatment centers in Colorado, with operations expected to begin in July 2024. Vivos' sleep center collaborator is presently rebranding its name in light of the new alliance, and Vivos expects to be able to share further details in the near future.
Kirk Huntsman, Chairman and CEO of Vivos, commented, "We cannot overstate the importance of this alliance to Vivos and its future, coupled with a validating private equity-led investment from Seneca. Over the last several years, peer-reviewed studies have confirmed our longstanding belief that Vivos has the most effective, safe, and potentially lasting non-surgical solution for all severities of OSA in adults that does not require lifelong nightly intervention. This was further validated by recent unprecedented FDA clearances Vivos has received, including the only FDA clearance for an oral medical device to treat severe OSA in adults."
"We firmly believe this new strategic marketing and distribution alliance will serve as the initial launch of a scalable model and the first of many such alliances throughout the United States that will be the means of highlighting and delivering Vivos treatment options to millions of new and existing OSA patients seeking non-surgical alternatives to CPAP. In our field operations experience, OSA patients who are presented with all available OSA treatment ...