Once High-Flying Direct-To-Consumer Dentistry Company SmileDirectClub Shuts Down
Portfolio Pulse from Vandana Singh
SmileDirectClub Inc (OTC: SDCCQ) has ceased operations following its bankruptcy filing in the U.S. in September. The company, established in 2014, offered a direct-to-consumer teeth aligner product as a cost-effective alternative to traditional braces. Despite going public in 2019 with a $1.35 billion IPO, SmileDirectClub accumulated nearly $900 million in debt and struggled to turn a profit. The company also settled a lawsuit regarding the suppression of consumer criticism this year. Efforts to sell the company were unsuccessful, with potential buyers withdrawing or presenting unviable bids.
December 11, 2023 | 6:00 pm
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SmileDirectClub Inc has shut down operations and is no longer offering its products or customer support following its bankruptcy. The company's efforts to find a buyer were unsuccessful, indicating a bleak outlook for the stock.
The shutdown of SmileDirectClub's operations following its bankruptcy filing and the lack of a successful sale suggest that the stock will likely face negative pressure in the short term. With operations ceasing and no further business activities, the stock is expected to decline, if it continues to trade at all.
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