Theranos, Inc. announced today that the Company and its CEO, Elizabeth Holmes, have resolved a previously disclosed investigation by the U.S. Securities and Exchange Commission (SEC) into the offer and sale of Theranos securities from 2013 to 2015.
The Company and Ms. Holmes fully cooperated with the SEC throughout its investigation. As part of the settlement, the Company and Ms. Holmes agreed to comply with applicable federal securities laws. Ms. Holmes will pay a $500,000 fine and will not be eligible to serve as a director or officer of a publicly traded company for a period of 10 years. She will also return approximately 18.9 million shares of stock and relinquish her super-voting equity rights. As part of the settlement, neither the Company nor Ms. Holmes admitted or denied any wrongdoing.
Theranos’ independent directors said in a statement, “The Company is pleased to be bringing this matter to a close and looks forward to advancing its technology.”