|
Delaware
|
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2836
|
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47-4790334
|
|
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(State or other jurisdiction of
incorporation or organization) |
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(Primary Standard Industrial
Classification Code Number) |
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(I.R.S. Employer
Identification Number) |
|
|
Charles Ruck
Wesley C. Holmes Latham & Watkins LLP 200 Clarendon Street Boston, MA 02116 (617) 948-6000 |
| |
Alan F. Denenberg
Stephen Salmon Davis Polk & Wardwell LLP 1600 El Camino Real Menlo Park, CA 94025 (650) 752-2000 |
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| Large accelerated filer ☐ | | | Accelerated filer ☐ | |
| Non-accelerated filer ☒ | | | Smaller reporting company ☒ | |
| | | | Emerging growth company ☒ | |
|
CALCULATION OF REGISTRATION FEE
|
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Title of Each Class of
Securities to be Registered |
| | |
Proposed Maximum
Aggregate Offering Price(1)(2) |
| | |
Amount of
Registration Fee(3) |
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|
Class A Common Stock, par value $0.001 per share(4)
|
| | | | $ | 57,500,000 | | | | | | $ | 7,464 | | |
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Page
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| | | | ii | | | |
| | | | 1 | | | |
| | | | 18 | | | |
| | | | 76 | | | |
| | | | 78 | | | |
| | | | 79 | | | |
| | | | 80 | | | |
| | | | 81 | | | |
| | | | 84 | | | |
| | | | 87 | | | |
| | | | 89 | | | |
| | | | 108 | | | |
| | | | 137 | | | |
| | | | 143 | | | |
| | | | 149 | | | |
| | | | 153 | | | |
| | | | 156 | | | |
| | | | 161 | | | |
| | | | 164 | | | |
| | | | 168 | | | |
| | | | 177 | | | |
| | | | 177 | | | |
| | | | 177 | | | |
| | | | F-1 | | |
| | |
Year Ended
December 31, |
| |
Six Months Ended
June 30, |
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| | |
2018
|
| |
2019
|
| |
2019
|
| |
2020
|
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| | |
(in thousands, except share and per share data)
|
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Consolidated Statements of Operations Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Net sales
|
| | | $ | 39,038 | | | | | $ | 42,901 | | | | | $ | 19,709 | | | | | $ | 18,442 | | |
Cost of goods sold
|
| | | | 23,093 | | | | | | 23,133 | | | | | | 10,376 | | | | | | 9,443 | | |
Gross profit
|
| | | | 15,945 | | | | | | 19,768 | | | | | | 9,333 | | | | | | 8,999 | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | |
Sales and marketing
|
| | | | 13,165 | | | | | | 16,161 | | | | | | 7,157 | | | | | | 8,297 | | |
General and administrative
|
| | | | 8,520 | | | | | | 9,616 | | | | | | 4,293 | | | | | | 5,699 | | |
Research and development
|
| | | | 2,481 | | | | | | 2,400 | | | | | | 1,235 | | | | | | 1,948 | | |
Total operating expenses
|
| | | | 24,166 | | | | | | 28,177 | | | | | | 12,685 | | | | | | 15,944 | | |
Loss from operations
|
| | | | (8,221) | | | | | | (8,409) | | | | | | (3,352) | | | | | | (6,945) | | |
Interest expense
|
| | | | 5,519 | | | | | | 5,381 | | | | | | 2,686 | | | | | | 2,783 | | |
Other (income) expense
|
| | | | (2,200) | | | | | | (1,881) | | | | | | — | | | | | | — | | |
Loss before provision for income taxes
|
| | | | (11,540) | | | | | | (11,909) | | | | | | (6,038) | | | | | | (9,728) | | |
Provision for income taxes
|
| | | | 26 | | | | | | 30 | | | | | | 14 | | | | | | 10 | | |
Net loss and net loss attributable to common
stockholders |
| | | $ | (11,566) | | | | | $ | (11,939) | | | | | $ | (6,052) | | | | | $ | (9,738) | | |
Net loss per share attributable to common stockholders — basic and diluted(1)
|
| | | $ | (1.32) | | | | | $ | (1.32) | | | | | $ | (0.67) | | | | | $ | (1.08) | | |
Weighted average shares of common stock
outstanding used to compute net loss per share attributable to common stockholders — basic and diluted(1) |
| | | | 8,785,082 | | | | | | 9,014,779 | | | | | | 9,002,913 | | | | | | 9,046,663 | | |
Pro forma net loss per share attributable to common
stockholders — basic and diluted (unaudited)(1) |
| | | | | | | | | | | | | | | | | | | | | | | | |
Pro forma weighted average shares of common stock
outstanding used to compute pro forma net loss per share attributable to common stockholders — basic and diluted (unaudited)(1) |
| | | | | | | | | | | | | | | | | | | | | | | | |
| | |
As of June 30, 2020
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Actual
|
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Pro Forma(1)
|
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Pro Forma As
Adjusted(2)(3) |
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(in thousands)
|
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Consolidated Balance Sheet Data: | | | | | | | | | | | | | | | | | | | |
Cash
|
| | | $ | 990 | | | | | $ | | | | | $ | | | ||
Working capital(4)
|
| | | | (3,310) | | | | | | | | | | | | | | |
Total assets
|
| | | | 42,195 | | | | | | | | | | | | | | |
Long-term debt, including current portion
|
| | | | 26,061 | | | | | | | | | | | | | | |
Long-term revenue interest obligation, including current portion
|
| | | | 19,433 | | | | | | | | | | | | | | |
Series A convertible preferred stock
|
| | | | 44,899 | | | | | | | | | | | | | | |
Total stockholders’ equity (deficit)
|
| | | | (64,723) | | | | | | | | | | | | | | |
| | |
Year Ended December 31,
|
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Six Months Ended June 30,
|
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| | |
2018
|
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2019
|
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2019
|
| |
2020
|
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| | |
(dollars in thousands)
|
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Net sales
|
| | | $ | 39,038 | | | | | $ | 42,901 | | | | | $ | 19,709 | | | | | $ | 18,442 | | |
Cost of Goods Sold
|
| | | | 23,093 | | | | | | 23,133 | | | | | | 10,376 | | | | | | 9,443 | | |
Gross profit
|
| | | $ | 15,945 | | | | | $ | 19,768 | | | | | $ | 9,333 | | | | | $ | 8,999 | | |
Intangible amortization expense
|
| | | $ | 3,398 | | | | | $ | 3,398 | | | | | $ | 1,699 | | | | | $ | 1,699 | | |
Cost of Goods Sold, excluding intangible amortization
|
| | | $ | 19,695 | | | | | $ | 19,735 | | | | | $ | 8,677 | | | | | $ | 7,744 | | |
Gross profit, excluding intangible amortization
|
| | | $ | 19,343 | | | | | $ | 23,166 | | | | | $ | 11,032 | | | | | $ | 10,698 | | |
Gross margin
|
| | | | 41% | | | | | | 46% | | | | | | 47% | | | | | | 49% | | |
Gross margin, excluding intangible amortization
|
| | | | 50% | | | | | | 54% | | | | | | 56% | | | | | | 58% | | |
| | |
As of June 30, 2020
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| | |
Actual
|
| |
Pro Forma
|
| |
Pro Forma As
Adjusted(1) |
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| | |
(in thousands, except share and per share data)
|
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Cash
|
| | | $ | 990 | | | | | $ | | | | | $ | | | ||
Total long-term debt(2)(4)
|
| | | $ | 26,061 | | | | | | | | | | | | | | |
Total revenue interest obligation(3)(4)
|
| | | | 19,433 | | | | | | | | | | | | | | |
Preferred stock warrant liability(4)
|
| | | | 247 | | | | | | — | | | | | | — | | |
Series A convertible preferred stock, par value $0.001 per share;
45,500,000 shares authorized, 45,000,000 shares issued and outstanding, actual; no shares authorized, issued or outstanding, pro forma and pro forma as adjusted |
| | | | 44,899 | | | | | | — | | | | | | — | | |
Series A-1 convertible preferred stock, par value $0.001 per share; no shares authorized, issued or outstanding, actual, pro forma and pro forma as adjusted(5)
|
| | | | — | | | | | | — | | | | | | — | | |
Stockholders’ equity (deficit): | | | | | | | | | | | | | | | | | | | |
Preferred stock, par value $0.001 per share; no shares authorized, issued or outstanding, actual; shares authorized and no shares issued or outstanding, pro forma and pro forma as adjusted
|
| | | | — | | | | | | — | | | | | | — | | |
Common stock, par value $0.001 per share; 63,000,000
shares authorized, 9,046,663 shares issued and outstanding, actual; shares authorized, pro forma and pro forma as adjusted; shares issued and outstanding, pro forma; shares issued and outstanding, pro forma as adjusted |
| | | | 9 | | | | | | — | | | | | | — | | |
Class A Common stock, par value $0.001 per share; no shares
authorized, issued or outstanding, actual; shares authorized, pro forma and pro forma as adjusted; shares issued and outstanding, pro forma; shares issued and outstanding, pro forma as adjusted |
| | | | — | | | | | | | | | | | | | | |
Class B Common stock, par value $0.001 per share; no shares
authorized, issued or outstanding, actual; shares authorized, pro forma and pro forma as adjusted; shares issued and outstanding, pro forma; shares issued and outstanding, pro forma as adjusted |
| | | | — | | | | | | | | | | | | | | |
Additional paid-in capital
|
| | | | 1,944 | | | | | | | | | | | | | | |
Accumulated deficit
|
| | | | (66,676) | | | | | | | | | | | | | | |
Total stockholders’ equity (deficit)
|
| | | | (64,723) | | | | | | | | | | | | | | |
Total capitalization
|
| | | $ | 25,917 | | | | | | | | | | | $ | | | |
|
Assumed initial public offering price per share
|
| | | | | | | | | $ | | | |
|
Historical net tangible book value per share as of June 30, 2020
|
| | | $ | (9.76) | | | | | | | | |
|
Increase (decrease) per share attributable to the pro forma adjustments described above
|
| | | | | | | | | | | | |
|
Pro forma net tangible book value (deficit) per share as of June 30, 2020
|
| | | | | | | |
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|
Increase per share attributable to this offering
|
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Pro forma as adjusted net tangible book value per share after this offering
|
| | | | | | | | | $ | | | |
|
Dilution per share to new investors in this offering
|
| | | | | | | | | $ | | | |
| | |
Shares Purchased
|
| |
Total Consideration
|
| |
Average Price
Per Share |
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| | |
Number
|
| |
Percent
|
| |
Amount
|
| |
Percent
|
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Existing stockholders(1)
|
| | | | | | | | | | % | | | | | $ | | | | | | % | | | | | $ | | | ||
New investors
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | $ | | | |
Total
|
| | | | | | | | | 100.0% | | | | | | | | | | | | 100.0% | | | | | | | | |
| | |
Year Ended
December 31, |
| |
Six Months Ended
June 30, |
| ||||||||||||||||||
| | |
2018
|
| |
2019
|
| |
2019
|
| |
2020
|
| ||||||||||||
| | |
(in thousands, except share and per share data)
|
| |||||||||||||||||||||
Consolidated Statements of Operations Data: | | | | | | | | | | | | | | | | | | | | | | | | | |
Net sales
|
| | | $ | 39,038 | | | | | $ | 42,901 | | | | | $ | 19,709 | | | | | $ | 18,442 | | |
Cost of goods sold
|
| | | | 23,093 | | | | | | 23,133 | | | | | | 10,376 | | | | | | 9,443 | | |
Gross profit
|
| | | | 15,945 | | | | | | 19,768 | | | | | | 9,333 | | | | | | 8,999 | | |
Operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | |
Sales and marketing
|
| | | | 13,165 | | | | | | 16,161 | | | | | | 7,157 | | | | | | 8,297 | | |
General and administrative
|
| | | | 8,520 | | | | | | 9,616 | | | | | | 4,293 | | | | | | 5,699 | | |
Research and development
|
| | | | 2,481 | | | | | | 2,400 | | | | | | 1,235 | | | | | | 1,948 | | |
Total operating expenses
|
| | | | 24,166 | | | | | | 28,177 | | | | | | 12,685 | | | | | | 15,944 | | |
Loss from operations
|
| | | | (8,221) | | | | | | (8,409) | | | | | | (3,352) | | | | | | (6,945) | | |
Interest expense
|
| | | | 5,519 | | | | | | 5,381 | | | | | | 2,686 | | | | | | 2,783 | | |
Other (income) expense
|
| | | | (2,200) | | | | | | (1,881) | | | | | | — | | | | | | — | | |
Loss before provision for income taxes
|
| | | | (11,540) | | | | | | (11,909) | | | | | | (6,038) | | | | | | (9,728) | | |
Provision for income taxes
|
| | | | 26 | | | | | | 30 | | | | | | 14 | | | | | | 10 | | |
Net loss and net loss attributable to common stockholders
|
| | | $ | (11,566) | | | | | $ | (11,939) | | | | | $ | (6,052) | | | | | $ | (9,738) | | |
Net loss per share attributable to common stockholders — basic and diluted(1)
|
| | | $ | (1.32) | | | | | $ | (1.32) | | | | | $ | (0.67) | | | | | $ |