Wearable Health Solutions Inc. will undergo a corporate restructuring and change its business model under new management after its top executives left.
The medical device-maker is shifting its focus from being a supplier of hearing aid supplemental devices to a distributor and dealer of virtual reality and health-related product lines.
Wearable Health has started integrating and developing various wearable health type products that utilize the virtual reality technology. It plans to integrate virtual reality with the new line of wearable products to provide relief for stress headaches and muscle aches.
In addition, Wearable Health has sold a majority of its assets from its hearing aid devices and other hearing aid support products to Aqualaro Corp. The sale was made in exchange for 28 million shares of Wearable Health, owned by a controlling group of the company.
The controlling group included the company's former executives and board members — CEO Ronald Adams, COO Jennifer Loria, and director and Executive Vice President Allen Polsky — who resigned from the company Aug. 31.
Wearable Health appointed Daniel Sobolewski as interim president and CEO and named Irina Veselinovic interim secretary and treasurer.
The new interim management settled all notes and debts the company owed to the previous management in exchange for 2,634,164 restricted shares. The company has also secured a $50,000 credit line from EMRY Capital, bearing interest at 8% per annum and issued 3.5 million restricted shares to an investor in exchange for a one-time investment of $25,000.
The company said in a Sept. 4 filing that it has earmarked these funds exclusively for developing and integrating the virtual reality product line.
Wearable Health has also relocated to West Palm Beach, Fla., from King of Prussia, Pa.