IO Biotech filed a voluntary Chapter 7 bankruptcy petition on March 31, 2026, in the U.S. Bankruptcy Court for the District of Delaware, ceasing all operations.1234
The company terminated all employees and officers, with the board of directors resigning; a trustee will liquidate assets.124
Bankruptcy follows FDA's September 2025 refusal to allow BLA submission for lead candidate Cylembio (IO102-IO103), after Phase 3 trial missed statistical significance (p=0.056) vs. pembrolizumab in melanoma.12
IO Biotech underwent 50% workforce reduction in September 2025 and further cuts in January 2026, with cash runway lasting only into Q1 2026.12
Strategic review in January 2026 with Raymond James failed to find a buyer, merger, or asset sale, leading to liquidation.2
Filing triggers default on €22.5 million European Investment Bank financing; common shareholders unlikely to receive any distribution.34
As of September 2025, assets were ~$40 million, liabilities ~$39.1 million; petition estimates assets $1-10 million, liabilities $10-50 million.2
Sources:
1. https://www.fiercebiotech.com/biotech/after-reeling-fda-refusal-io-biotech-surrenders-bankruptcy
2. https://elevenflo.com/blog/io-biotech-chapter-7-liquidation
3. https://www.streetinsider.com/Corporate+News/IO+Biotech+files+for+bankruptcy+and+ceases+operations/26245856.html
4. https://www.stocktitan.net/sec-filings/IOBT/8-k-io-biotech-inc-reports-material-event-94b5ffa4f31d.html