Full Press Release Details
Envoy Medical Extinguishes Over $32 Million
in Debt, Strengthening Balance Sheet
Announces Retirement of Glen A. Taylor from
Extinguishment simplifies capital structure,
strengthens foundation for growth, and eliminates all term loan obligations, without equity conversion
White Bear Lake, Minnesota - (August 26,
2025) - Envoy Medical Inc. (NASDAQ: COCH) ("Envoy Medical" or the "Company"), a hearing
health company pioneering fully implanted hearing solutions, today announced it has satisfied and extinguished the outstanding term loans
from GAT Funding, LLC, which totaled $32 million in outstanding principal and accrued interest, in exchange for a payment of $100,000
GAT Funding is owned by Glen A. Taylor, who also
announced his retirement from the Envoy Medical board after two decades of service to the Company.
"On behalf of the Envoy Medical board, we
want to thank Glen Taylor for his years of service and his tremendous support of Envoy Medical over the years. With the extinguishment
of the term loans, Envoy Medical has reset its balance sheet and we are now positioned to devote our capital resources to the continued
development of our lead product candidate, the investigational Acclaim cochlear implant," stated Brent Lucas, Chief
Executive Officer of Envoy Medical. "Our mission is to transform the hearing industry with groundbreaking, fully implanted technologies.
With a stronger financial foundation, we are better equipped to deliver on that mission. We are deeply grateful for Glen Taylor's
unwavering belief in the Company-our fully implanted cochlear implant would not have been possible without his steadfast support."
Envoy Medical's outgoing Chairman Emeritus,
Glen Taylor commented, "It has been an honor to serve Envoy Medical and support its mission over nearly two decades. With the strong
momentum in the Company's pivotal clinical trial and the Company's now improved financial position, I am retiring from the
Envoy Medical board with great confidence in its future. I look forward to seeing all that Envoy Medical's talented and passionate
team will accomplish."
Mr. Lucas concluded, "While we will miss
his contributions on the board, we also celebrate Glen's legacy with Envoy Medical and wish him all the best. With a talented
Board bringing more than 100 years of combined medical device experience, we are excited to execute on our vision and further drive shareholder
For more information about Envoy Medical's innovation pipeline
and intellectual property portfolio, visit www.envoymedical.com.
To be added to the Envoy Medical email distribution
list, please email Envoy@kcsa.com with COCH in the subject line.
About Envoy Medical, Inc.
Envoy Medical (Nasdaq: COCH) is a hearing health
company focused on providing innovative technologies across the hearing loss spectrum. Envoy Medical has pioneered one-of-a-kind, fully
implanted devices for hearing loss, including its fully implanted Esteem active middle ear implant, commercially available
in the U.S. since 2010, and the fully implanted Acclaim cochlear implant, an investigational device. Envoy Medical is
dedicated to pushing hearing technology beyond the status quo to improve access, usability, compliance, and ultimately quality of life.
About the Fully Implanted Acclaim
We believe the fully implanted Acclaim Cochlear
Implant ("Acclaim CI") is a first-of-its-kind hearing device. Envoy Medical's fully implanted technology includes a sensor designed
to leverage the natural anatomy of the ear instead of a microphone to capture sound.
The Acclaim CI is designed to address severe to
profound sensorineural hearing loss that is not adequately addressed by hearing aids. The Acclaim CI is expected to be indicated for adults
who have been deemed adequate candidates by a qualified physician.
The Acclaim Cochlear Implant received the Breakthrough
Device Designation from the U.S. Food and Drug Administration (FDA) in 2019.
CAUTION The fully implanted Acclaim Cochlear Implant is an investigational
device. Limited by Federal (or United States) law to investigational use.
About the Esteem Fully Implanted
Active Middle Ear Implant (FI-AMEI)
The Esteem fully implanted active middle ear implant
(FI-AMEI) is the only FDA-approved, fully implanted* hearing device for adults diagnosed with moderate to severe sensorineural hearing
loss allowing for 24/7 hearing capability using the ear's natural anatomy. The Esteem FI-AMEI hearing implant is invisible and requires
no externally worn components and nothing is placed in the ear canal for it to function. Unlike hearing aids, you never put it on or take
it off. You can't lose it. You don't clean it. The Esteem FI-AMEI hearing implant offers true 24/7 hearing.
Important safety information for the Esteem FI-AMEI
can be found at: https://www.envoymedical.com/safety-information.
Forward-Looking Statements
This press release includes "forward-looking
statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform
Act of 1995. Forward-Looking statements may be identified by the use of words such as "estimate," "plan," "project,"
"forecast," "intend," "will," "expect," "anticipate," "believe," "seek,"
"target" or other similar expressions that predict or indicate future events or trends or that are not statements of historical
matters, but the absence of these words does not mean that a statement is not forward-looking. Such statements may include, but are not
limited to, statements regarding the expectations of Envoy Medical concerning the outlook for its business, capital resources, financial
position, plans and goals; the Company's ability to obtain future financing and fund its business; the timing and results any pivotal
clinical trial, approvals, site documents, logistics, activations, enrollments, follow-up visits, and data relating to the Acclaim CI;
and the safety, performance, and market acceptance of the Acclaim CI. The forward-looking statements contained in this press release reflect
Envoy Medical's current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions and
changes in circumstances that may cause its actual results to differ significantly from those expressed in any forward-looking statement.
Envoy Medical does not guarantee that the events described will happen as described (or that they will happen at all). These forward-looking
statements are subject to a number of risks and uncertainties, including, but not limited to changes in the market price of shares of
Envoy Medical's Class A Common Stock; changes in or removal of Envoy Medical's shares inclusion in any index; Envoy Medical's success
in retaining or recruiting, or changes required in, its officers, key employees or directors; unpredictability in the medical device industry,
the regulatory process to approve medical devices, and the clinical development process of Envoy Medical products; competition in the
medical device industry, and the failure to introduce new products and services in a timely manner or at competitive prices to compete
successfully against competitors; disruptions in relationships with Envoy Medical's suppliers, or disruptions in Envoy Medical's own production
capabilities for some of the key components and materials of its products; changes in the need for capital and the availability of financing
and capital to fund these needs; changes in interest rates or rates of inflation; legal, regulatory and other proceedings could be costly
and time-consuming to defend; changes in applicable laws or regulations, or the application thereof on Envoy Medical; a loss of any of
Envoy Medical's key intellectual property rights or failure to adequately protect intellectual property rights; the effects of catastrophic
events, including war, terrorism and other international conflicts; and other risks and uncertainties set forth in the section entitled
"Risk Factors" and "Cautionary Note Regarding Forward Looking Statements" in the Annual Report on Form 10-K for the
year ended December 31, 2024 filed by Envoy Medical on March 31, 2025, and in other reports Envoy Medical files, with the SEC. If any
of these risks materialize or Envoy Medical's assumptions prove incorrect, actual results could differ materially from the results implied
by these forward-looking statements. While forward-looking statements reflect Envoy Medical's good faith beliefs, they are not guarantees
of future performance. Envoy Medical disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes
in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this press release,
except as required by applicable law. You should not place undue reliance on any forward-looking statements, which are based only on information
currently available to Envoy Medical.
KCSA Strategic Communications
KCSA Strategic Communications