One final frown for SmileDirectClub (SDC) investors.
The tooth alignment outfit filed for voluntary protection under Chapter 11 of the US Bankruptcy Code on Friday, Yahoo Finance exclusively learned.
The company — hampered by years of losses, weak sales for clear aligners, and close to $850 million in long-term debt — plans to maintain normal operations thanks to an investment of at least $20 million by the company’s founders Alex Fenkell and Jordan Katzman.
Up to $60 million of additional capital is available upon satisfaction of certain conditions, including the favorable conclusion of a marketing process for the company, which is expected to result in the disposition of the company’s equity.
Source: Yahoo Finance