Vivos Therapeutics (VVOS) intends to raise $20 million in an IPO of its common stock, according to an S-1 registration statement.
Highlands Ranch, Colorado-based Vivos was founded to develop customized oral devices designed to help people who suffer from mild to moderate obstructive sleep apnea [OSA].
Management is headed by co-founder, Chairman and CEO R. Kirk Huntsman, who was previously founder of Dental One Partners, a large dental service organization.
Below is a brief overview video of Vivos Therapeutics:
The company’s primary offering is the Vivos System, composed of a nighttime appliance and a daytime/nighttime appliance.
Vivos has received at least $21 million from investors.
The firm sells its systems to dental practitioners via a direct sales force that targets prospects in the U.S. and Canada.
In the future, and with some of the proceeds from the IPO, the firm intends to develop strategic partnerships, connect with key opinion leaders, attend trade shows and use digital advertising platforms to introduce practitioners to the system.
Sales and Marketing expenses as a percentage of total revenue have dropped as revenues have increased.
The Sales and Marketing efficiency rate, defined as how many dollars of additional new revenue are generated by each dollar of Sales and Marketing spend, dropped 1.4x in the most recent reporting period.
According to a 2019 market research report, the global market for sleep apnea devices is expected to reach a value of $12.6 billion by 2025.
This represents a forecast CAGR of 6.8% from 2019 to 2025.
The main drivers for this expected growth are an increasing prevalence of sleep disordered breathing, growing awareness of the condition and a higher treatment rate in regions such as North America.
Also, therapeutic devices accounted for 65% of the market in 2018 and are expected to grow at a CAGR of