Proteus Electronic Overall health CEO Andrew Thompson
Qin Chen | CNBC
Proteus Digital Well being has filed for Chapter 11 bankruptcy protection, in accordance to a submitting late Monday.
The Silicon Valley corporation develops ingestible sensors that connect when medications are taken, plus a wearable patch that screens the response. At a person position, the “good capsule” maker was valued at $1.5 billion in accordance to Forbes.
But in recent months, it has struggled to raise further financing, and furloughed the the greater part of its workers for two weeks in November 2019, CNBC earlier claimed. Stat News previously noted that a offer with Otsuka was terminated in January of this 12 months.
According to the legal submitting, the corporation has $100 to $500 million in belongings and $50 to $100 million in liabilities. It has an estimated 200 to 999 lenders, and its major creditors contain PREI’s Westport Office environment Park ($1,035,305), Romaco North America ($510,848), Otsuka The united states Pharmaceutical ($397,721), Workday ($288,000) and Xceliance ($215,616). Spring Ridge Ventures owns practically all of its Series A chosen stock.
The board of directors appointed Lawrence Perkins as its interim main government officer immediately after a stint as a main restructuring officer. Its previous CEO Andrew Thompson is now shown on the website as a co-founder.
The corporation has elevated extra than $500 million in undertaking cash from a blend of technology investors, spouse and children offices and pharmaceutical giants like Novartis. In 2017, it announced a partnership with Otsuka, a pharmaceutical firm. As component of the deal, Otsuka invested $88 million in the business.
Proteus fits in the so-identified as “electronic therapeutics area” simply because it augments the traditional process of taking a medication. But buyers have mentioned that when the method is promising, it has traditionally been a obstacle to marry the electronic and pharma sectors.