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  "documentTitle": "Hims & Hers Health, Inc. (HIMS)",
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      "text": "The SEC required HIMS to increase its disclosure regarding CPoM in December 2020, and the Bailey Health dissolutions began in 2021.",
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      "text": "Is this clear evidence of a CPoM violation?",
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      "text": "Excerpts From SEC Comment Letter Seeking Greater Disclosure",
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      "text": "Excerpts From HIMS / Triple Point Loan Agreement Indicate HIMS Ownership",
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      "text": "Practice Reorganization. On or before the Bailey Date, You shall perform a reorganization of the Bailey Entities and certain Practices, which may include the reorganization of the Bailey Entities, the transfer of contracts or other assets held by the Bailey Entities to third parties, the winding down of certain Practices that are owned, directly or indirectly, by You, a restructuring of certain Practices, the forgiveness of up to $30 million of Indebtedness owed by the Bailey Entities or Practices, as of the Closing Date, to You, and a change in the payment structure with respect to accounts of Practices (such reorganization, the “Practice Reorganization”). Following the Practice Reorganization, You may continue to make Investments in the Practices as necessary to fund the operations of such entities on a monthly basis, provided that at no time shall the aggregate balance of any Practice Deposit Account or account holding investment property exceed one month’s of operating expenses for such Practice, in accordance with clause (m) of “Permitted Investments.”",
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      "text": "2. We note that Hims engages service providers, including physicians through the Affiliated Medical Groups and partner pharmacies, to provide its telemedicine and prescription services. Please revise the Company Overview to clearly describe the company’s relationship with the Affiliated Medical Groups for the provision of its telemedicine services and partner pharmacies for its prescription services, the arrangements governing these relationships, and the regulatory landscape applicable to the company’s business model. Please also provide more information regarding the non-prescription products provided by the company. As currently drafted there is no discussion of the mechanics of the business or its operations in this section. 6. We note the risk factor detailing Hims' dependence on the Affiliated Medical Groups and the company's partner pharmacies. Please revise your disclosure to name those Affiliated Medical Groups and/or partner pharmacies that are material to the company's business on an individual basis, disclose the material terms of such agreements and file such agreements as exhibits. In this regard we note your mention of Ochsner Health and 13. Please explain how the \"Affiliated Medical Groups\" are affiliated with Hims & Hers where this term is defined on page 220 and in the Selected Definitions section of the document.",
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      "text": "The original Bailey Health entities were dissolved from 2021-2022 as part of a “practice reorganization” alluded to in a November 2019 loan agreement with Triple Point Venture Growth. The document clearly states that the Bailey entities were owned by HIMS. Also, the new entities incorporated as You Health were “managed/owned” by friendly physicians. Moreover, in its first S-4 filed following the announcement of the SPAC transaction, HIMS appears to have attempted to gloss over the realities of its “Friendly PC” structure, which elicited a major comment from the SEC to dramatically revise its disclosures related to CPoM.",
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      "text": "We note that Hims engages service providers, including physicians through the Affiliated Medical Groups and partner pharmacies, to provide its telemedicine and prescription services. Please revise the Company Overview to clearly describe the company's relationship with the Affiliated Medical Groups for the provision of its telemedicine services and partner pharmacies for its prescription services, the arrangements governing these relationships, and the regulatory landscape applicable to the company's business model. — SEC Comment Letter",
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      "kind": "source-note",
      "text": "Source: Spruce Point Research, HIMS / Triple Point Loan Agreement, SEC Comment Letter Dated 11/19/2020, Spruce Point red underline emphasis",
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      "text": "We Hypothesize That The Potential Failure of HIMS' Original Practice Structure To Meet CPoM Provisions Resulted In The Dissolution of the Bailey Health Entities",
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