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Spartan Bioscience files for creditor protection, lays off nearly 70% of staff


Barely two months after its rapid COVID-19 test got the green light from Health Canada, Ottawa’s Spartan Bioscience says it is filing for creditor protection and cutting two-thirds of its workforce in the wake of a “higher-than-expected level of inconclusive results” from the device.
In a statement to OBJ on Tuesday, the company said it is laying off 61 of its roughly 90 employees and restructuring its operations as it works to “refine the performance of its COVID-19 test in the field.” 
Spartan said it has “made the difficult but necessary decision” to stop shipping the product, which had already received tens of millions of dollars’ worth of orders from various governments and private-sector customers across Canada. ....

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Spartan Bioscience files for creditor protection


Winnipeg Free Press
By: Ross Marowits, The Canadian Press
Posted:
Last Modified: 5:21 PM CDT Tuesday, Apr. 6, 2021
Spartan Bioscience Inc. has filed for creditor protection after pausing shipments of its rapid COVID-19 test due to an issue with the product.
Spartan Bioscience Inc. has filed for creditor protection after pausing shipments of its rapid COVID-19 test due to an issue with the product.
The Ottawa-based company said some customers were getting a high level of inconclusive results. That s not a safety issue, but it s seeking protection from creditors while it restructures its operations and refines the test s performance.
Spartan said it s laying off 60 employees, or around 70 per cent of its workforce. ....

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Test-kit glitch: Spartan declares insolvency, seeks fresh investment or buyer


Article content
Less than three months after regaining Health Canada approval for its portable COVID-19 testing technology, Spartan Bioscience has again halted shipments of its product after acknowledging an unspecified technical glitch.
The result: insolvency and much uncertainty about its future.
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Test-kit glitch: Spartan declares insolvency, seeks fresh investment or buyer Back to video
“This is not a patient safety issue,” said Jennifer Ross Carriere, interim CEO of Spartan,”and we are working hard to resolve it.”
Spartan withdrew its DNA-testing device a year ago after initial test kits ordered by the federal government and several provinces provided sub-standard results. The Ottawa firm had spent months re-engineering its lab-in-a-box so that the swab would collect bigger COVID-19 samples. Health Canada granted approval again on Jan. 22. ....

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