VivoTech Denies Shutting Down, But Is Definitely Restructuring
NFC-centric startup ViVOtech is denying rumors that a shutdown of its business operations is imminent, but at the same time does acknowledge that it is looking to restructure.
It may also have used up all of the roughly $100 million in venture capital it has raised over the past several years, multiple outlets suggest.
The back-and-forth began early Friday, when the NFC Times reported that ViVOtech had told its employees it would be shutting down. ViVOtech executive chairman Mick Mullagh responded with an official statement, claiming that the companies “business fundamentals are strong” — but also acknowledging that the firm had been seeking a buyer for its reader operations since the start of 2012.
“Vivotech has not ceased operations but is in the process of restructuring operations and has reduced its team to a smaller group with the goals of maintaining customer relationship and core contract work and to address our supplier relationships and commitments,” Mullagh went on to say.