The strengths of the manufacturer of prescription digital therapies Therapeutic pear were dismantled and auctioned off for $6.05 million after the company filed for bankruptcy in April.
According to filing in courtPear’s assets were divided among four bidders: Digital Therapy Company Click on TherapeuticHarvest BIO, sleep technology company Nox Health Group and health technology company Papule.
The group’s biggest bid came from Nox Health, which will get Pear’s assets related to somryst, which uses cognitive behavioral therapy for insomnia to train the brain and body to sleep. Nox will pay $3.9 million for the assets.
Harvest Bio has been the recipient of Pear’s Invention Science Fund (ISF) licenses and patents as well as its assets relating to schizophrenia, multiple sclerosis and depression, major depressive disorder and other assets from the pipeline. Harvest also successfully purchased Pear’s trademarks, PearConnect, reset And reSET-O assets. Harvest purchased the Pear assets for an aggregate purchase price of $2.03 million.
Click Therapeutics offered $70,000 for all of Pear’s platform patents, excluding those related to ISF assets, and Welt agreed to purchase Pear’s migraine-related assets for $50. $000.
THE GREAT TREND
The company hit public markets end of 2021 through a merger with a special purpose acquisition company, then a popular method of public exit for digital health companies. But the company’s share price has generally declined Since.
In March, Pear announced that he was exploring “strategic alternatives”, including any possible sale, merger or acquisition of business.
In a filing with the Securities and Exchange CommissionPear withdrew its revenue and operating guidance for fiscal 2022 and 2023 and announced it would not hold a fourth-quarter and full-year earnings call.
Last month, Pear filed for Chapter 11 bankruptcy and announced that it was looking to sell its business or assets, but would continue its scaled-down operations during Chapter 11 as it sought a sale, and Pear would use its available cash to fund its operations and costs after the petition.
Boston-based company CEO Corey McCann referenced the file on LinkedInstating, “Today is a difficult day for Pear Therapeutics. We announced that Pear has voluntarily filed for Chapter 11 and will seek to sell assets through a sale process. We also announced a reduction in strength , including me. It’s definitely not the outcome I envisioned when I founded Pear in 2013.”