Connect with us

Hi, what are you looking for?


Genetic testing company Invitae files for bankruptcy

Genetic testing company Invitae has officially filed for Chapter 11 bankruptcy but plans to continue its operations uninterrupted. Despite facing financial challenges, the San Francisco-based company aims to use its available cash and explore potential business sales to navigate through the bankruptcy process.

Invitae is seeking approval from the U.S. Bankruptcy Court for the District of New Jersey to utilize its existing cash reserves to support its ongoing operations during the bankruptcy proceedings. According to the company’s bankruptcy petition, it reported assets ranging from $500 million to $1 billion, while its liabilities were estimated between $1 billion and $10 billion.

Ken Knight, President and CEO of Invitae, emphasized the company’s efforts over the past year and a half to strengthen its financial position by focusing on key business areas. Despite progress in achieving positive cash flow, addressing the company’s debt through the Chapter 11 process has become necessary.

The bankruptcy filing marks a significant development for Invitae, which went public in 2015 on the NASDAQ exchange. Despite experiencing growth, including acquisitions like that of health records startup Ciitizen in 2021, the company faced challenges in turning a profit. Layoffs and divestments were implemented to cut costs, but the company’s stock price continued to decline, prompting the New York Stock Exchange to consider delisting Invitae’s shares due to low trading levels.

Despite these financial setbacks, Invitae remains committed to its mission of providing genetic testing services. The bankruptcy filing represents a strategic move to address financial obligations and position the company for future growth and sustainability in the rapidly evolving healthcare industry.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like


Apple is gearing up for a significant refresh of its iPad lineup in 2024, starting with the anticipated launch of the iPad Pro in...


Microsoft Teams had a major hiccup on Friday, causing disruptions and various issues for users. The problem started around 11 a.m. EST and quickly...


JetBlue Airways is considering pulling out of its $3.8 billion acquisition of Spirit Airlines following a federal judge’s blockage of the deal in response...


Tesla is pulling back nearly 200,000 cars in the U.S. over a glitch with the backup camera not kicking in when the car’s in...