Proceeds of the placement will be used to fund an increase in inventory levels of IQbuds BOOST™ following the product’s recent announcement to the UK NHS hearing aid supply contract.
Funds will also allow for increased sales and marketing activities and the development and manufacture of new products including IQstream TV and IQbuds MAX.
Notably, many of the company’s existing institutional shareholders including Nuheara’s largest shareholder Farjoy Pty Limited participated in the placement.
In 2016, Nuheara released its revolutionary wireless earbuds, IQbuds™, which allow consumers to augment their hearing according to their personal hearing preferences and connect hands-free with their voice-enabled smart devices.
IQbuds™ are now sold in major consumer electronics retailers and professional hearing clinics around the world.
Last week IQbuds BOOST™ were selected by the UK’s National Health Service (NHS) to provide hearing solutions to adults and children with mild to moderate hearing loss.
In a world first, IQbuds BOOST™ was selected as a smart hearing bud to be prescribed alongside traditional hearing aids.
NHS contract worth up to £138 million
Commencing in April 2019, the contract will be for an initial two year period with provision for a further two-year extension.
The anticipated value for purchases made by NHS for hearing device solutions to support this mild to moderate hearing category is circa £34.5 million in the first 12 months and £138 million for the full term of 48 months (if extended).