LITTLETON, Colo. - Vivos Therapeutics, Inc. (NASDAQ: VVOS), a medical technology company specializing in treatments for sleep-related breathing disorders, has entered into agreements with institutional investors for a registered direct offering. The company plans to sell 1,363,812 shares of common stock at $3.15 per share, expecting to raise approximately $4.3 million in gross proceeds.
The offering is scheduled to close around September 20, 2024, contingent on customary closing conditions. H.C. Wainwright & Co. is serving as the exclusive placement agent for the transaction.
The proceeds from the sale are intended for working capital and general corporate purposes, according to the company's statement. This offering is part of a shelf registration statement filed with the Securities and Exchange Commission (SEC) on February 7, 2022, and declared effective on February 14, 2022.
Vivos Therapeutics is known for developing the Vivos Method, a nonsurgical and nonpharmaceutical approach to treating obstructive sleep apnea (OSA) and snoring. The method, which has been applied in over 45,000 patients worldwide, involves oral appliance therapy that repositions and/or expands the airway.
The final prospectus supplement and accompanying base prospectus describing the terms of the offering will be available on the SEC's website. Potential investors can obtain these documents from H.C. Wainwright & Co. upon availability.
The company cautions that forward-looking statements in the press release involve risks and uncertainties, and there can be no assurance that the offering will be completed as planned or that the anticipated proceeds will be realized.
This news article is based on a press release statement from Vivos Therapeutics.
In other recent news, Vivos Therapeutics, a medical technology company, has received FDA clearance for its oral appliance designed to treat pediatric obstructive sleep apnea (OSA). This approval, based on a controlled study demonstrating significant symptom reduction, opens a new market for Vivos. In other developments, the company's Board of Directors has approved the 2024 Omnibus Equity Incentive Plan, pending stockholder approval, with the aim of retaining and motivating employees.
Additionally, the Board authorized contingent stock option grants to certain executives and employees. On the financial front, Vivos Therapeutics reported a 19% increase in total revenue for the second quarter of 2024. Ascendiant Capital maintained a Buy rating on the company's stock and increased the shares target to $6.60 from $6.40, suggesting a potential 180% upside.
Lastly, Vivos Therapeutics closed a $7.5 million equity growth investment to strengthen its cash position and announced a strategic marketing and distribution alliance in Colorado, to enhance product accessibility. These recent developments underscore Vivos Therapeutics' strategic efforts towards sustained growth and profitability.
InvestingPro Insights
Vivos Therapeutics, Inc. (NASDAQ: VVOS), while navigating the complexities of the medical technology market, has shown some notable stock performance metrics in recent times. According to real-time data from InvestingPro, the company has experienced a significant return over the last week with a 44.41% price total return, and even more impressively, a 58.85% and 93.9% return over the last month and three months respectively. These figures highlight a robust short-term upward trend in the company's stock price.
Despite this recent surge, Vivos Therapeutics holds a market capitalization of $14.05 million, which is relatively small, reflecting the company's status as a micro-cap stock. The stock's volatility is also evident from the price swings, with an InvestingPro Tip indicating that the stock price movements are quite volatile. This volatility can present both opportunities and risks for investors.
On the financial health front, an InvestingPro Tip reveals that Vivos Therapeutics holds more cash than debt on its balance sheet, which can be a positive signal for investors looking for companies with a solid financial foundation. However, it's worth noting that analysts do not anticipate the company will be profitable this year, and the valuation implies a poor free cash flow yield. These factors could be crucial for potential investors to consider, especially in the context of the company's recent registered direct offering aimed at raising capital for working capital and general corporate purposes.
For those interested in a deeper dive into Vivos Therapeutics' financials and stock performance, InvestingPro offers additional tips and metrics. There are currently 10 more InvestingPro Tips available for VVOS at InvestingPro, which could provide further insights into the company's investment potential.
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