1 00:00:00,425 --> 00:00:01,905 - This is Riz Hatten with the Becker 2 00:00:01,905 --> 00:00:03,145 Dental CSO podcast. 3 00:00:04,045 --> 00:00:06,305 Here's your daily industry news briefing for today. 4 00:00:06,785 --> 00:00:09,735 December 11th, televis Industry Company's 5 00:00:09,735 --> 00:00:11,175 SmileDirect Club is shutting down. 6 00:00:11,185 --> 00:00:13,615 After efforts to recapitalize the business failed 7 00:00:15,035 --> 00:00:16,855 the company filed for bankruptcy in October 8 00:00:16,995 --> 00:00:19,335 and an effort to fund short and long-term growth. 9 00:00:20,775 --> 00:00:23,995 Its founders committed to investing at least $20 million, 10 00:00:24,135 --> 00:00:25,235 but the company was unable 11 00:00:25,235 --> 00:00:26,875 to secure additional investors due 12 00:00:26,875 --> 00:00:28,195 to macroeconomic challenges 13 00:00:28,215 --> 00:00:30,395 and a decline in discretionary consumer spending. 14 00:00:32,465 --> 00:00:34,745 A spokesperson for the company said in the December 8th 15 00:00:34,775 --> 00:00:35,865 news release quote. 16 00:00:36,675 --> 00:00:38,285 This is tremendously disappointing 17 00:00:38,505 --> 00:00:40,245 and it's not the outcome any of us wanted. 18 00:00:40,665 --> 00:00:43,405 But absent a partner willing to support the recapitalization 19 00:00:43,585 --> 00:00:44,885 or a similar transaction, 20 00:00:45,095 --> 00:00:47,005 there is no other viable path at this time. 21 00:00:48,325 --> 00:00:50,705 We are incredibly grateful to our passionate 22 00:00:50,705 --> 00:00:52,785 and skilled team members whose hard work 23 00:00:52,785 --> 00:00:54,705 and commitment helps SmileDirectClub improve over 24 00:00:54,705 --> 00:00:55,865 2 million smiles in lives. 25 00:00:56,085 --> 00:00:59,435 And quote, the company stated on its website 26 00:00:59,435 --> 00:01:01,795 that it would begin winding down its global operations 27 00:01:01,795 --> 00:01:03,875 immediately and that it would no longer be offering 28 00:01:03,895 --> 00:01:05,035 its solid dentistry services. 29 00:01:05,815 --> 00:01:08,275 The company also said it is unable to provide support 30 00:01:08,335 --> 00:01:09,515 to its existing customers, 31 00:01:10,055 --> 00:01:12,315 but that more information about refunds would become 32 00:01:12,315 --> 00:01:13,875 available once the next steps are determined. 33 00:01:14,375 --> 00:01:16,765 If you would like the latest dental 34 00:01:16,785 --> 00:01:18,245 and healthcare industry news over 35 00:01:18,265 --> 00:01:20,365 to your inbox every afternoon, subscribe 36 00:01:20,365 --> 00:01:21,805 to the Becker Stenzel Castillo Star. 37 00:01:21,805 --> 00:01:23,165 Review eNewsletter through our 38 00:01:23,165 --> 00:01:26,365 website@www.beckerstenzel.com.