Nox Health Group is set to acquire Somryst, the sole US Food and Drug Administration (FDA)-authorized prescription digital therapeutic for chronic insomnia treatment, from Pear Therapeutics after being selected as the successful bidder at auction.
Pear filed for Chapter 11 bankruptcy last month, and an auction to divest the company’s assets was held last week, as first reported by Stat. Nox Health agreed to a cash purchase price of $3.9 million, according to a bankruptcy court filing.
After filing for bankruptcy, Pear announced its intention to sell the business and/or assets. “Our hope is that our business and/or products will be purchased so that another company can provide them to patients,” reads a notice on Pear’s homepage. Pear’s bankruptcy filing came around a month after the company announced it was considering a sale, merger, other strategic alternatives, and/or seeking additional financing.
Pear’s third product, Somryst for the treatment of chronic insomnia, was the first prescription digital therapeutic submitted through the FDA’s traditional 510(k) pathway while simultaneously reviewed through the FDA’s Software Precertification Pilot Program.
Somryst is intended to improve insomnia symptoms by providing cognitive behavioral therapy for insomnia (CBT-I) to adults 22 years of age and older with chronic insomnia. The American Academy of Sleep Medicine and the American College of Physicians clinical guidelines recommend CBTi as first-line treatment for people with chronic insomnia.
Additionally, Somryst also provides a clinician-facing dashboard that allows healthcare providers to track patient treatment and progress. The clinician dashboard displays information about patients’ use of Somryst, including the Insomnia Severity Index and sleep metrics derived from nightly sleep diaries.
Three other companies—Click Therapeutics Inc, Harvest Bio LLC, and WELT Corp—also agreed to purchase assets from Pear. The sale of the assets totaled $6.05 million.