Eargo, the medical device company behind "virtually invisible" hearing aids, went public Friday in a bid to radically expand the market for hearing assistance.
"You don't have to be an old person," CEO Christian Gormsen told Cheddar. "You don't have to look like an old person. You don't have to go into a clinic."
The San Jose, California-based company began trading Friday on the Nasdaq under the ticker symbol "EAR" at the starting price of $18 per share. The stock price quickly doubled at the start of trading, hitting more than $38 by mid-afternoon.
"We want to be an industry innovator," he said. "Being a public company, first of all, helps us drive more awareness for hearing loss, which is critical, but it also gives us access to this amazing global investor base that we see as a great strength in terms of getting even better."
Gormsen added that 43 million Americans face hearing loss, while only a quarter do anything about it. By offering a less conspicuous hearing aid, the goal is to draw more of those people into the market.
"What's unique about Eargo is really that people don't want traditional hearing aids," he said. "We've developed a revolutionary medical technology device that actually sits invisibly behind your ear."
In addition, Eargo plans to grow its telephone and online marketing in an effort to reach consumers directly, rather than through a hearing clinic, where much of the hearing aid industry is based.
Gormsen also noted that this approach is especially important during the coronavirus pandemic.
"We've always been offering people to get hearing aids from the comfort, and now also from the safety, of their homes," he said.
The capital raised from the IPO will largely go into innovation, said Gormsen, given that the company is already well-funded.
"There's so much more we can do to make hearing aids even better in the future," he said.
Cracker Barrel said late Tuesday it’s returning to its old logo after critics — including President Donald Trump — protested the company’s plan to modernize.
Low-value imports are losing their duty-free status in the U.S. this week as part of President Donald Trump's agenda for making the nation less dependent on foreign goods. A widely used customs exemption for international shipments worth $800 or less is set to end starting on Friday. Trump already ended the “de minimis” rule for inexpensive items sent from China and Hong Kong, but having to pay import taxes on small parcels from everywhere else likely will be a big change for some small businesses and online shoppers. Purchases that previously entered the U.S. without needing to clear customs will be subject to the origin country’s tariff rate, which can range from 10% to 50%.
Southwest Airlines will soon require plus-size travelers to pay for an extra seat in advance if they can't fit within the armrests of one seat. This change is part of several updates the airline is making. The new rule starts on Jan. 27, the same day Southwest begins assigning seats. Currently, plus-size passengers can pay for an extra seat in advance and later get a refund, or request a free extra seat at the airport. Under the new policy, refunds are still possible but not guaranteed. Southwest said in a statement it is updating policies to prepare for assigned seating next year.
Cracker Barrel is sticking with its new logo. For now. But the chain is also apologizing to fans who were angered when the change was announced last week.
Elon Musk on Monday targeted Apple and OpenAI in an antitrust lawsuit alleging that the iPhone maker and the ChatGPT maker are teaming up to thwart competition in artificial intelligence.
Hear from Gabino & Stephen Roche on Saphyre’s institutional AI platform that centralizes pre‑ and post‑trade data, redefining settlement speed and accuracy.
