The Aftermath of Invitae’s Bankruptcy: A New Chapter Under Labcorp

Invitae US46185L1035

The year 2024 marked a definitive turning point for genetic testing company Invitae. Its journey through Chapter 11 bankruptcy protection culminated in a fundamental shift, leaving former shareholders with worthless equity and the brand itself under new ownership. The operational future now rests with laboratory giant Labcorp.

Invitae filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of New Jersey on February 13, 2024. The primary goal was to manage its debt load and facilitate a sale of core business segments. This process led to the acquisition of key assets by Labcorp. A critical legal milestone was reached on August 2, 2024, when the court confirmed the Third Amended Joint Plan of reorganization.

The activation of this plan had a direct and severe consequence for investors: all existing equity interests, including common stock, were canceled without providing any compensation to holders. For those who owned Invitae shares, this action effectively resulted in a total loss of their investment. The approved restructuring plan did not include provisions for any retrospective recovery or reimbursement for these shareholders.

Operational Relaunch and Pricing Strategy

Moving forward under Labcorp's stewardship, the Invitae brand is focusing on accessibility and transparent pricing for 2025. A key initiative is the expansion of test availability to include individuals who have not traditionally undergone genetic screening.

The company has announced clear, upfront costs for self-pay patients:
* The Invitae Comprehensive Genetic Risk Panel is priced at $299.
* The Invitae Cancer Genetic Risk Panel will cost $250.

For insured tests, Labcorp and Invitae now provide binding cost estimates directly through their portal. Furthermore, they have implemented a expanded Financial Assistance Program with specific caps. Eligible patients can access flat rates: $250 for cancer panels and $299 for panels targeting rare diseases or other non-cancer conditions.

Market Status and Forward Look

Current market data starkly reflects the post-bankruptcy reality. Recent figures show a market capitalization of approximately $85.9 thousand. The stock's 52-week high stands at $0.01, and from that peak, the shares have declined by 100%. The equity is considered potentially delisted and likely has very limited tradability.

For Labcorp, the focus is on integrating the acquired Invitae operations. The announced plans for 2025 clearly aim to broaden test offerings and systematically reduce financial barriers for patients. While the Invitae name continues in the market, its equity story for previous investors concluded definitively in August 2024.