People have been curious about Elizabeth Holmes’ wealth since Theranos went out of business. There was a time when the now-defunct Silicon Valley health technology company’s CEO and founder were the youngest female self-made billionaires in the world. But things have changed drastically for Elizabeth Holmes’ wealth.
Holmes entered this world on February 3, 1984, in the nation’s capital. Her mother, Noel, worked on Capitol Hill as a committee aide, while her father, Christian, was a vice president at Enron before moving into government service with organisations like USAID. When she was a child, Holmes and her family relocated from Washington, D.C., to Houston, Texas.
Holmes showed an innate propensity for innovation early on, frequently filling entire notebooks with sketches of proposed concepts and inventions. She told her father in a letter when she was nine, “What I want out of life is to discover something new, something that mankind didn’t know was possible to do.”
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Holmes frequently stayed up late in high school to get his homework done. As a result, she quickly ascended to the top of her class and is now running a successful business selling C++ compilers (software that translates computer code) to schools in China. Holmes began studying Mandarin in high school. After applying to and being accepted to Stanford University’s summer programme, she and her classmates ultimately travelled to Beijing to immerse themselves in the language.
Around this time, Holmes resolved that she would become a doctor like her great-great-grandfather had been a surgeon. But she rapidly understood that she had a severe phobia of needles. This, Holmes explained later, was the impetus behind the founding of Theranos. This firm claimed to be able to diagnose everything from cancer to high cholesterol with just a finger prick using cutting-edge technology.
Soon after completing her Stanford summer programme, Holmes enrolled at Stanford to study chemical engineering. After her first year of college, she completed an internship at Singapore’s Genome Institute, where she screened blood samples for SARS-CoV-1.
As a sophomore, she started her company, Real-Time Cures (later renamed Theranos), and submitted a patent for a drug-delivery patch the following year. By the beginning of the next semester, she had decided to devote her full time to her employment for Theranos rather than Stanford.
It was only the beginning of what would soon be a meteoric rise in Elizabeth Holmes’ wealth, only to fall again. Please continue reading to find out what happened to Elizabeth Holmes’ wealth, from how much she stole in the past to how much she’s worth now.
How much cash did Elizabeth Holmes embezzle?
After Holmes founded Theranos, her former advisor at Stanford, Channing Roberston, connected her with investors. By the end of 2004, the young entrepreneur had raised roughly $6 million in venture financing from some high-profile investors. Holmes is expected to grow around $700 million for Theranos over the next decade.
For a long time, nobody knew much about Theranos since it operated in complete secrecy. There was never a public corporate website or news release, and investors were never provided with any information about how her technology functioned. Theranos’ profile didn’t take off until 2013 when the company announced a partnership with Walgreens to set up blood sample collection centres at the pharmacy chain’s locations.
At this time, Holmes started making headlines: she delivered speeches, spoke on panels and adorned the covers of Fortune and Forbes, declaring her the youngest self-made woman billionaire at 30. At its peak, the value of her company, Theranos, was estimated to be $9 billion.
Yet, something didn’t seem quite right. According to an investigation by Nick Bilton published in Vanity Fair, Theranos’ lead scientist and an early hire, Ian Gibbons, uncovered weaknesses in the company’s technology and conveyed worries to Holmes that the tests weren’t suitable for public usage.
Experts outside the company also started speaking out about their concerns with Theranos. These questions climaxed in 2015 when medical research professor John Ioannidis and then Eleftherios Diamandis questioned the validity of her company’s technique.
Reporter John Carreyrou of the Wall Street Journal launched a scathing investigation into Theranos later that year, claiming that the company’s blood-testing equipment, Edison, did not produce reliable findings. Theranos, on the other hand, was not employing artificial intelligence to do its blood tests. It is claimed that Holmes lied to potential investors, medical professionals, and patients.
Following the publication of the WSJ article, the FDA began looking into Theranos. Numerous violations of Title 21 of the FDA Regulations were found during the 2015 inquiry. Meanwhile, the Centers for Medicare and Medicaid Services opened their investigations into a Theranos lab in Newark, California, in January 2016 after discovering testing anomalies.
CMS officially prohibited Holmes from owning or managing a clinical blood-testing facility for two years and a few months later. Medical regulators, state and federal agencies, investor groups, and individual patients filed lawsuits and imposed sanctions against Theranos in the following years. Following years of litigation, the business was officially dissolved in September 2018.
Elizabeth’s net worth??
What is Elizabeth Holmes’s current wealth? After the demise of Theranos, Elizabeth Holmes’s net worth plummeted from a reported $4.5 billion to $0 as of 2022, according to Forbes. In addition to former company president Ramesh “Sunny” Balwani, the business’s founder and former CEO was also charged with fraud by the U.S.
Securities and Exchange Commission (SEC) in 2018. That same year, Holmes and Balwani were indicted on wire fraud and conspiracy charges by the United States Attorney for the Northern District of California.
Holmes’ trial was initially set to commence in August 2020 but was delayed following her pregnancy. Her trial started in August of 2021, a full year later. Holmes was convicted on three charges of wire fraud and one count of conspiracy to commit wire fraud on January 3, 2022. She was given a sentence of 11 years and three months in jail on November 18, 2022, to begin on April 27, 2023.