WellO2 files for corporate restructuring in Finland

Finnish breathing exercise device manufacturer WellO2 Oy has filed for corporate restructuring at the North Savo District Court, according to a report by Yle.

The company’s board decided to seek restructuring on May 20. WellO2’s debts amount to approximately €2.1 million, with major creditors including Finnvera, the State Treasury, and Kaskimaa Cooperative Bank. The preliminary value of its realisable assets is estimated at €176,000–€376,000.

An auditor stated the company is heavily indebted relative to its available assets. The restructuring application notes that WellO2 has invested significantly in international growth and product development in recent years, but many investments proved unprofitable due to an overly aggressive growth strategy.

The company established a US subsidiary to sell its patented WellO2 device on Amazon, but sales remained low and the operation incurred losses.

WellO2 has sold over 120,000 units in Finland. Last year, its turnover was €1.3 million, but it posted a loss exceeding €1 million. The company has already implemented cost-cutting measures, scaled back international operations, and secured capital commitments from its main owners to cover essential running costs.

Currently, the WellO2 device is sold as a wellness product, but the company aims to develop it into a medical device combining breathing exercises with respiratory data technology. The auditor has given a positive assessment of the company’s restructuring feasibility. WellO2 Oy currently employs five people.