uBiome, once a Biotech darling that popularized its concept on the pages of pretail e-commerce site Indiegogo and then listed an investment opportunity on Angellist, has filed for bankruptcy according to public documents.
Back in 2015, uBiome pitched the concept of sequencing an individual’s microbiome by providing mail-in kits for people to better understand their gut biology. Thousands of backers signed up for these kits on the pretail platform. uBiome then went on to promote a $1.5 million in convertible debt offering on AngelList. Prominent names were said to back the company including Georges Harik (one of Google’s first ten employees), Andreessen Horowitz and Dave McClure of 500 startups committing to uBiome. It has been reported that uBiome raised over $100 million in venture funding.
— uBiome (@uBiome) January 20, 2014
The wheels fell off when the Federal Bureau of Investigation (FBI) raided the offices this past July. Allegedly, the action was taken due to certain billing practices.
The founders, Jessica Richman and Zac Apte, were jettisoned from the startup long ago. The FBI investigation caused interim CEO John Rakow to exit the company.
Today, we learn that uBiome has filed for bankruptcy.
Endpoints reports that uBiome quickly secured $8 million in financing from Silicon Valley Bank after the bankruptcy filing. The company is expected to be sold soon – currently claiming assets worth $50 to $100 million.
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