Ex-SPAC Sleep Apnea Device Maker ProSomnus Files for Bankruptcy

ProSomnus Inc. filed for Chapter 11 bankruptcy on Tuesday less than 18 months after it debuted as a public company via a combination with a special-purpose acquisition company.

• The company, which makes a mouthguard-like device to treat sleep apnea, listed $26.3 million of assets against $52.9 million of debts in its bankruptcy petition filed on Delaware
• It’s seeking up to $13 million of debtor-in-possession financing to fund itself in bankruptcy
• The company’s restructuring plan, which is subject to court approval, calls for giving equity in the reorganized company to existing creditors
• Existing ProSomnus shareholders will be wiped out
• EARLIER: Sleep ...