Theranos, Inc., was in the news again recently. On Feb. 16, The Wall Street Journal reported that Theranos had just $200 million in cash. The information came from a conference call the discredited lab testing company conducted with its investors. During the call, Theranos officials also stated that the company had no material revenue during 2015 and 2016. Another interesting fact that emerged is that the company has not put cash into reserve against potential liabilities from the lawsuits that have been filed against it by customers, investors, and others. For example, Walgreens, its former partner, is suing Theranos for $140 million.
MORE ON: Theranos
The Journal also reported last month that, following CLIA inspection of the Theranos lab in Scottsdale, Ariz., the company had received a letter on Jan. 16, 2016, from Medicare officials listing “condition level failures and immediate jeopardy.” The company had not disclosed that fact until recently. Other news sources reported that the number of employees at Theranos has shrunk from 700 to about 220 currently. The company says it continues to work on developing its miniLab testing instrument. That product was unveiled at last summer’s meeting of the American Association of Clinical Chemistry and was met with much scepticism.
ELLKAY AQUIRES CAREEVOLVE
Last week, Ellkay, LLC, of Miami, Fla., completed its acquisition of CareEvolve, a division of Bio-Reference Laboratories, Inc. CareEvolve provides labs with an integrated lab order/lab resulting portal, among other services. EllKay, founded in 1999, offers healthcare providers interconnectivity and data migration services.
- Rina Wolf has retired as XIFIN, Inc.’s full-time Vice President of Strategic Commercialization, Consulting, and Industry Affairs. She will continue to do some consulting work for XIFIN and has accepted a faculty associate position at the ASU International Graduate Program.
- MolecularMD of San Diego, announced the appointment of Fritz Eibel as Senior Vice President and Chief Marketing Officer. Eibel has previously worked for Wren Laboratories, RainDance Technologies, Agena Bioscience, Life Technologies, Gen-Probe, and Roche Diagnostics.
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…the growing shortage lab scientists in the United Kingdom. Pathologists and physicians are warning the National Health Service that delays in lab testing are imminent because of inadequate numbers of trained lab professionals.
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Look for the next briefing on Monday, March 13, 2017.