Theranos is Reportedly Shutting Down for Good

Scandal-ridden Theranos is closing up shop, according to a report from the Wall Street Journal. WSJ published an email from Theranos’ CEO David Taylor to shareholders, that said the company will dissolve after it attempts to pay creditors with its remaining cash. Taylor took the helm of Theranos in June. To independently verify the report and the email,  MD+DI attempted to contact Theranos, but the company could not be immediately reached for comment. According to the WSJ report, the company will be liquidated over the next six to 12 months. The firm will give its remaining $5 million in cash to creditors, the WSJ reports. That means those who invested in the company aren’t likely to receive anything. Theranos, a company that once was valued at $9 billion, had a story that started off like a fairy tale – before it turned into a nightmare and a cautionary tale for device and diagnostic firms. At one point, the Palo Alto, CA-based company’s former CEO, Elizabeth Holmes was poised to change medtech forever. At 19, Holmes left Stanford University to start a lab-testing company with the goal of providing consumers access to cheap, fast, and high-quality diagnostic tests that used just a drop of blood from a fingerstick. Even Former Vice President Joe Biden called Theranos the "laboratory of the future." Dressed in all black, Holmes went to tradeshows and speaking engagements spreading Theranos&acir...
Source: MDDI - Category: Medical Devices Authors: Tags: Business Source Type: news