Envoy Medical Corp., a Minnesota med-tech company that's developing a new type of cochlear implant, began trading on the public markets this week after completing a deal with a special purpose acquisition company (SPAC).
White Bear Lake-based Envoy was first listed on the NASDAQ market, listing under the symbol COCH. It had a bumpy first day, with its share price falling by 30% during a tumultuous week on the public markets. On Wednesday Envoy was trading at about $4.46.
The public markets debut followed a merger with Anzu Special Acquisition Corp. Anzu is a SPAC, or “blank check” fund of Tampa Bay-based Anzu Partners. SPACs are companies that go public with the intent of raising money to acquire other businesses.
The Tampa Bay Business Journal reported earlier this year on Anzu's plan to acquire Envoy medical. (The deal was initially valued at about $150 million, though that assumed a $10 per share price.)
The company is focused on fully implanted hearing devices. Its primary device is the Acclaim cochlear impact, which is distinct from the partially implanted, partially external devices that are currently available on the market.
Acclaim technology leverages the anatomy of the ear rather than a microphone to capture sound entering the ear. Sound vibrations are processed into electronic signals, then the stimulator sends unique electrical signals to stimulate the cochlea and hearing nerve to receive sounds.
Acclaim was granted breakthrough device designation from the U.S. Food and Drug Administration and is currently in clinical trials. Envoy noted in a press release that it intends to target a significantly under-penetrated cochlear implant market, which it believes to have more than an $80 billion value in the U.S.
The company was founded in 1995, according to Business Journal reporting.
