The board of Nuheara Limited (ASX:NUH) announced that it has initiated a strategic review to evaluate and determine its future strategic options and has secured commitments for $1.85 million (before costs) in additional funding to support this process. Following the successful launch of its FDA-approved OTC hearing aid; the securing of a substantial US retail footprint; and the imminent completion of its next generation product, the Company is now positioned to evolve to its next phase. This phase will require significant levels of sales and marketing investment, including in expanded internal resources and capabilities.

It is the Board's view that M&A will be required to achieve this evolution, given the Company's current resources and capital. The Board is confident that the business' unique R&D capability, encompassing medical device, hearing and consumer electronics industry, can realise value for shareholders via M&A. As part of this process the business is shifting its strategy and will therefore be restructuring its investment levels, including limiting new production and marketing spend, with a prioritisation on the completion of the new chip development with Realtek and the next generation of HP Hearing PRO product. While this reduced investment will limit sales and revenue of current generation product, it reduces the level of additional external capital expected to be required to complete the Strategic Review process.

Azure Capital Pty Ltd. has been appointed as advisor to assist with the Strategic Review, including assisting with discussions relating to potential M&A.