Viveon Health Acquisition Corp.(NYSE American: VHAQ) announced that it has signed a letter of intent (LOI) to combine with a platform focusing on cognitive care for the elderly and those with special needs.
Since the transaction is still non-binding, the parties have kept the details to a minimum. But, Viveon did disclose that the deal values the target, Clearday (OTCQX: CLRD), at $250 million.
The company provides an AI-driven platform for the aging population that integrates numerous healthcare innovations into personalized care experiences, which continuously assesses an individual’s cognitive and physical capabilities.
With its autonomous robotics and innovative care treatments, Clearday intends to address the $1.4 trillion burden in annual National Health Expenditures for aging adults.
Under the terms of the letter of intent, Clearday’s existing equity holders expect to convert 100% of their equity into the combined company. Viveon expects to announce additional details regarding the proposed deal once a definitive merger agreement is executed.
Today’s LOI comes almost a month after Viveon unilaterally terminated its combination with Suneva Medical “based upon material breaches” of the merger agreement.
The parties announced the $511 million merger over a year ago in January 2022. San Diego-based Suneva produces a line of anti-aging products and medical devices for cosmetic procedures. It expected to generate about $50 million in revenue in 2022 at the time of the deal’s announcement.