Envoy Medical Extinguishes over $32 Million in Debt, Strengthening Balance Sheet; Announces Retirement of Glen A. Taylor from Board

Extinguishment simplifies capital structure, strengthens foundation for growth, and eliminates all term loan obligations, without equity conversion

White Bear Lake, Minnesota--(Newsfile Corp. - August 26, 2025) - Envoy Medical® Inc. (NASDAQ: COCH) ("Envoy Medical" or the "Company"), a hearing health company pioneering fully implanted hearing solutions, today announced it has satisfied and extinguished the outstanding term loans from GAT Funding, LLC, which totaled $32 million in outstanding principal and accrued interest, in exchange for a payment of $100,000 in cash.

GAT Funding is owned by Glen A. Taylor, who also announced his retirement from the Envoy Medical board after two decades of service to the Company.

"On behalf of the Envoy Medical board, we want to thank Glen Taylor for his years of service and his tremendous support of Envoy Medical over the years. With the extinguishment of the term loans, Envoy Medical has reset its balance sheet and we are now positioned to devote our capital resources to the continued development of our lead product candidate, the investigational Acclaim® cochlear implant," stated Brent Lucas, Chief Executive Officer of Envoy Medical. "Our mission is to transform the hearing industry with groundbreaking, fully implanted technologies. With a stronger financial foundation, we are better equipped to deliver on that mission. We are deeply grateful for Glen Taylor's unwavering belief in the Company—our fully implanted cochlear implant would not have been possible without his steadfast support."

Envoy Medical's outgoing Chairman Emeritus, Glen Taylor, commented, "It has been an honor to serve Envoy Medical and support its mission over nearly two decades. With the strong momentum in the Company's pivotal clinical trial and the Company's now improved financial position, I am retiring from the Envoy Medical board with great confidence in its future. I look forward to seeing all that Envoy Medical's talented and passionate team will accomplish."

Mr. Lucas concluded, "While we will miss his contributions on the board, we also celebrate Glen's legacy with Envoy Medical and wish him all the best. With a talented Board bringing more than 100 years of combined medical device experience, we are excited to execute on our vision and further drive shareholder value."

For more information about Envoy Medical's innovation pipeline and intellectual property portfolio, visit www.envoymedical.com.

To be added to the Envoy Medical email distribution list, please email Envoy@kcsa.com with COCH in the subject line.

About Envoy Medical, Inc.

Envoy Medical (NASDAQ: COCH) is a hearing health company focused on providing innovative technologies across the hearing loss spectrum. Envoy Medical has pioneered one-of-a-kind, fully implanted devices for hearing loss, including its fully implanted Esteem® active middle ear implant, commercially available in the U.S. since 2010, and the fully implanted Acclaim® cochlear implant, an investigational device. Envoy Medical is dedicated to pushing hearing technology beyond the status quo to improve access, usability, compliance, and ultimately quality of life.

About the Fully Implanted Acclaim® Cochlear Implant

We believe the fully implanted Acclaim Cochlear Implant ("Acclaim CI") is a first-of-its-kind hearing device. Envoy Medical's fully implanted technology includes a sensor designed to leverage the natural anatomy of the ear instead of a microphone to capture sound.

The Acclaim CI is designed to address severe to profound sensorineural hearing loss that is not adequately addressed by hearing aids. The Acclaim CI is expected to be indicated for adults who have been deemed adequate candidates by a qualified physician.

The Acclaim Cochlear Implant received the Breakthrough Device Designation from the U.S. Food and Drug Administration (FDA) in 2019.

CAUTION The fully implanted Acclaim Cochlear Implant is an investigational device. Limited by Federal (or United States) law to investigational use.

About the Esteem® Fully Implanted Active Middle Ear Implant (FI-AMEI)

The Esteem fully implanted active middle ear implant (FI-AMEI) is the only FDA-approved, fully implanted* hearing device for adults diagnosed with moderate to severe sensorineural hearing loss allowing for 24/7 hearing capability using the ear's natural anatomy. The Esteem FI-AMEI hearing implant is invisible and requires no externally worn components and nothing is placed in the ear canal for it to function. Unlike hearing aids, you never put it on or take it off. You can't lose it. You don't clean it. The Esteem FI-AMEI hearing implant offers true 24/7 hearing.

*Once activated, the external Esteem FI-AMEI Personal Programmer is not required for daily use.

Important safety information for the Esteem FI-AMEI can be found at: https://www.envoymedical.com/safety-information.

See Important Information  here: https://landing.envoymedical.com/important-information