Vivos Therapeutics (NASDAQ:VVOS) has entered into a definitive agreement to immediately exercise an outstanding stock purchase warrant held by an institutional investor to purchase an aggregate of 980,393 shares for approximate proceeds of $4 million.
The net proceeds will be used by the medical device company specializing in treatments for sleep-related breathing disorders for general corporate purposes.
Vivos said that the investor has agreed to exercise the existing warrant, issued in November 2023 at an exercise price of $3.83 per share, at a revised exercise price of $4.02 per share.
The investor, in consideration for immediately exercising the warrant for cash, will be issued two new unregistered warrants, each to purchase 735,296 shares of common stock or an aggregate of 1,470,592 shares at an exercise price of $5.05 per share.
The warrants are exercisable immediately from issuance. One has a term of five years and the second a term of 18 months.
The transaction is expected to close no later than February 20, 2024, subject to satisfying customary closing conditions.
Vivos is a medical technology company focused on developing and commercializing innovative diagnostic and treatment methods for patients suffering from breathing and sleep issues arising from certain dentofacial abnormalities such as obstructive sleep apnea (OSA) and snoring in adults.