"Alphabet's life sciences unit, Verily, plans to restructure its business as it anticipates a fresh round of investment. In a town hall meeting on Monday, Verily CEO Stephen Gillett told staff that Verily would transform from a Limited Liability Company to a C-corp, a business structure generally considered more investor-friendly, according to a person who heard the remarks and asked to remain anonymous because they were not permitted to speak to the press."
"Gillett told employees the change was happening as Verily anticipated a fresh round of investment and stopped short of confirming whether any investment had been secured and by whom. Employees were also told on Monday that their Verily shares were being revalued, the person said. The value of each share has been reduced by around 80% compared to its 2024 value, according to internal documents viewed by Business Insider."
"Gillett told staff during the Monday meeting that Verily's valuation was too high compared to its earnings, according to the person who heard the remarks. A Verily spokesperson declined to comment. Business Insider previously reported that Verily was trying to secure a new round of funding this year. Verily last month told staff it was closing down its long-running devices business and laying off staff, Business Insider first reported."
Verily plans to restructure from a Limited Liability Company into a C-corp to attract new investment. CEO Stephen Gillett said the change aligns with anticipation of a fresh funding round, though no investor was confirmed. Employees were informed that share values were revalued and reduced roughly 80% compared with 2024 internal valuations. Leadership said Verily's valuation exceeded its earnings. The company recently closed its devices business and implemented layoffs as part of multi-year cost-cutting and streamlining. Verily has been detaching technology and dependencies on Google to prepare for an eventual spinout from Alphabet.
Read at Business Insider
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