After two decades of successfully scaling multiple healthcare
companies, Steven Nelson joins
DarioHealth as Chief Commercial Officer to accelerate revenue
growth across the health plans, employers and pharma
channels
NEW
YORK, June 5, 2024 /PRNewswire/
-- DarioHealth Corp. (Nasdaq: DRIO) ("Dario", "DarioHealth" or
the "Company"), a leader in the global digital health market,
announced today a strategic reorganization designed to streamline
leadership and focus the organization on accelerating its
commercialization efforts. This move reflects the Company's
commitment to bringing its innovative solutions to the market
faster, maximizing customer impact, and driving the organization to
profitability.
To achieve this goal, DarioHealth is transitioning to a flatter
organizational model. The President role will be eliminated, and
dedicated C-level positions will be established for each core
function, reporting directly to the Chief Executive Officer. The
newly created role of Chief Commercial Officer (CCO) will be in
addition to the existing C-Level roles in the Company. The Company
believes that this structure fosters a more collaborative
environment and ensures clear lines of communication which are
essential for driving successful commercialization initiatives.
Further strengthening its commercial focus, DarioHealth is
excited to announce the appointment of Steven Nelson as its Chief Commercial Officer of
DarioHealth, Mr. Nelson will be instrumental in developing and
executing strategies to drive rapid commercialization. Mr. Nelson
will oversee Dario's global commercial activities, including growth
strategy, sales, client management, marketing, strategic
partnerships, and expansion into new markets. Mr. Nelson brings
over two decades of experience building and scaling
technology-centric healthcare companies.
Most recently, Mr. Nelson served as the Chief Executive Officer
and President of Contigo Health, a multi-faceted collaborator for
healthcare providers, plans and employers. During his tenure at
Contigo Health, he led the company to revenue scale and turned the
business to profitability, managed over 75 clients in the
portfolio, and established several national and regional health
plan partnerships as well as employer relationships.
Before his role at Contigo, Nelson served as the Chief Operating
Officer of Anthem Inc.'s Diversified Business Group. There, he
played a pivotal role in the "One Anthem" transformation initiative
that developed strategic business plans resulting in a $7 billion run-rate revenue.
In a mutual agreement, Rick
Anderson will step down in his role as President of the
Company and will join the advisory board of DarioHealth.
"We are excited to welcome Steven as DarioHealth's Chief
Commercial Officer. We are confident that his exceptional track
record and experience will accelerate our growth, bring us to cash
flow positive, and capitalize on our pipeline of commercial
opportunities which, after the expanded product offering through
the Twill acquisition, is larger than ever before. The addition of
a CCO to our management structure ensures that there is a c-level
executive strictly focused on commercial activities that will allow
us to continue to deliver on our mission to transform the current
health and care experience for members," said Erez Raphael, Chief Executive Officer of
Dario.
"I am deeply grateful for Rick's leadership and friendship over
the last 4 years," Raphael said. "Rick was integral to
transitioning the Company into the B2B market and the growth we
have seen. We will build upon the foundations he put in place,
centered around innovation and a focus on the needs of the patients
and families we serve, as we shape the company's future."
In conjunction with Mr. Nelson's appointment as Chief Commercial
Officer, he was granted a non-qualified stock option award to
purchase 500,000 shares of the Company's common stock, a
non-qualified performance-based stock option award to purchase up
to an additional 400,000 shares of the Company's common stock
during each of the fiscal years ending December 31, 2024, as well as additional
non-qualified performance-based stock option award to purchase up
to an additional 450,000 shares of the Company's common stock
during each of the fiscal years ending December 31, 2025, 2026 and 2027, pursuant to
Nasdaq Listing Rule 5635(c)(4) outside of the Company's existing
equity compensation plans. These options were granted as an
inducement material to Mr. Anderson becoming an employee of the
Company, in accordance with Nasdaq Listing Rule 5635(c)(4).
Mr. Nelson's non-qualified option to purchase 500,000 shares of
the Company's common stock vest over three years, with one third of
such shares vesting on June 1, 2025,
and the remaining shares vesting in equal quarterly amounts. In
addition, Mr. Nelson's non-qualified performance-based stock option
award to purchase 400,000 shares of common stock, of which 150,000
shares commence vest upon the Company achieving 92% of a targeted
revenue amount for the year ended December
31, 2024, and the remaining balance of 250,000 shares if the
annual revenue is 100% or more of a targeted amount, provided,
however that such options shall be canceled if the annual revenue
does not reach at least 92% of the targeted amount. The Company
also agreed to issue Mr. Nelson a stock option to purchase 450,000
shares of common stock, for each of the years ending December 31, 2025, December 31, 2026 and December 2027, of which 150,000 shares commence
vesting if the Company's annual revenue is at least 92% of a
targeted amount, 150,000 shares commence vesting if the Company's
annual revenue is 100% or more of the targeted amount and an
additional 150,000 shares will commence vesting upon reaching
certain annual goals as determined by the Company's Board of
Directors for such fiscal year, provided, however that such options
shall be canceled if the annual revenue does not reach at least 92%
of the targeted amount. Each of the performance options vest over a
three-year period commencing on the first day of the following
fiscal year to which such option relates, at the rate of 8.33% per
quarter, at the last day of the relevant fiscal quarter.
About DarioHealth Corp.
DarioHealth Corp. (Nasdaq: DRIO) is a leading digital health
company revolutionizing how people with chronic conditions manage
their health through a user-centric, multi-chronic condition
digital therapeutics platform. Our platform and suite of solutions
deliver personalized and dynamic interventions driven by data
analytics and one-on-one coaching for diabetes, hypertension,
weight management, musculoskeletal pain and behavioral health.
Our user-centric platform offers people continuous and
customized care for their health, disrupting the traditional
episodic approach to healthcare. This approach empowers people to
holistically adapt their lifestyles for sustainable behavior
change, driving exceptional user satisfaction, retention and
results and making the right thing to do the easy thing to do.
Dario provides its highly user-rated solutions globally to
health plans and other payers, self-insured employers, providers of
care and consumers. To learn more about Dario and its digital
health solutions, or for more information, visit
http://dariohealth.com.
Cautionary Note Regarding Forward-Looking Statements
This news release and the statements of representatives and
partners of the Company related thereto contain or may contain
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Statements that are not
statements of historical fact may be deemed to be forward-looking
statements. Without limiting the generality of the foregoing, words
such as "plan," "project," "potential," "seek," "may," "will,"
"expect," "believe," "anticipate," "intend," "could," "estimate" or
"continue" are intended to identify forward-looking statements. For
example, when the Company discusses its belief that its new
structure fosters a more collaborative environment and ensures
clear lines of communication, which are essential for driving
successful commercialization initiatives. Readers are cautioned
that certain important factors may affect the Company's actual
results and could cause such results to differ materially from any
forward-looking statements that may be made in this news release.
Factors that may affect the Company's results include, but are not
limited to, regulatory approvals, product demand, market
acceptance, impact of competitive products and prices, product
development, commercialization or technological difficulties, the
success or failure of negotiations and trade, legal, social and
economic risks, and the risks associated with the adequacy of
existing cash resources. Additional factors that could cause or
contribute to differences between the Company's actual results and
forward-looking statements include, but are not limited to, those
risks discussed in the Company's filings with the U.S. Securities
and Exchange Commission. Readers are cautioned that actual results
(including, without limitation, the timing for and results of the
Company's commercial and regulatory plans for Dario™ as described
herein) may differ significantly from those set forth in the
forward-looking statements. The Company undertakes no obligation to
publicly update any forward-looking statements, whether as a result
of new information, future events or otherwise, except as required
by applicable law.
Logo:
https://mma.prnewswire.com/media/1920436/DarioHealth_Logo.jpg
DarioHealth Corporate Contact
Mary Mooney
VP Marketing
+1-312-593-4280
DarioHealth Investor Relations Contact
Kat
Parella
Investor Relations Manager
kat@dariohealth.com
+315-378-6922
Media Contact
Scott
Stachowiak
scott.stachowiak@russopartnersllc.com
+1-646-942-5630
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SOURCE DarioHealth Corp.
