SmileDirectClub begins ‘swift wind down of business to maximize value’

SmileDirectClub (SDC) announced the company has initiated “a swift wind down of its global operations to maximize value for stakeholders.” The wind down follows the company’s efforts to market the business and implement a comprehensive recapitalization transaction meant to strengthen its balance sheet and fuel growth initiatives. A company spokesperson stated, “Despite a robust effort to identify prospective investors and partners to successfully recapitalize the business, we were unable to find a partner willing to infuse the necessary capital for the path ahead given the ongoing difficult macroeconomic climate and the decline in discretionary consumer spend. This is tremendously disappointing and is not the outcome any of us wanted, but absent a partner willing to support the recapitalization or a similar transaction, there is no other viable path at this time. We are incredibly grateful to our passionate and skilled team members, whose hard work and commitment helped SmileDirectClub improve over 2 million smiles and lives.” SmileDirectClub competes in the teeth straightening market with Align Technology (ALGN).