Rhinomed Ltd (ASX:RNO) has completed a $3.6 million share placement to institutional and sophisticated investors at $0.15 per share.
The proceeds of the private placement will be used to drive growth of Rhinomed’s Mute snoring and sleep technology which is now stocked in over 7000 stores globally.
Mute is an over-the-counter device that enable snorers to breathe more easily through their nose and keep their mouth closed during sleep. In turn, this reduces vibration in the airways that causes snoring.
One in four people suffer from some form of nasal obstruction, which is a contributor to snoring and poor sleep.
Mute is designed to fit the natural anatomy of the nose and is adjustable so the user can control the level of dilation and airflow.
Rhinomed has shipped 52,000 units of Mute during Q1 FY18, which is 33% of entire sales for FY17.
Walgreens (NASDAQ:WBA) has stocked Mute into 4300 new stores in early October.
Importantly, the recommended retail price (RRP) US$24.95 is delivering strong margins for Rhinomed.