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Theranos reportedly had a secret partnership worth $350 million that has since fallen apart

Published by Business Insider on Wed, 11 Nov 2015


Theranos and The Wall Street Journal have gone another round.In the latest report from The Journal's John Carreyrou, current and former Safeway executives say its partnership with Theranos, the $9 billion startupthat claims it can run blood tests with only a finger prick's worth of blood, is on the brink of officially dissolving.The supermarket chain reportedly spent $350 million to put in Theranos testing clinics in more than 800 clinics, The Journal reports.In true Theranos form, the company responded to Carreyrou's latest report, saying "As we relayed to the Journal, the information published in this piece is again inaccurate, misleading and defamatory."So far, Theranos has partnered with Walgreens in Arizona andCapital BlueCrossin Pennsylvania. A Journal article last month reported that the Theranos- Walgreens partnershiphad stalled until the blood-testing company could provide more information about its finger-prick tests.Theranos CEO Elizabeth Holmes said after The Journal's report that this was the first she's heard of it. This back-and-f0rth between The Journal and Theranos began in October after aJournal article pointed out some inaccuracies inthe test's results.The Journal reports the clinics that were meant for Theranos blood tests are now largely being used to administerflu shots and vaccines.The partnership, which reportedly went bythe code name "T-Rex," was never publicly acknowledged by either company.RELATED:There's a problem between 'revolutionary' blood-testing startup Theranos and one of its biggest partnersUP NEXT:Martin Shkreli is still refusing to answer to the US government for jacking up the price of a critical drug, and he's not aloneJoin the conversation about this storyNOW WATCH: The strongest hurricane on record, with 200 mph winds, could be 'unimaginably catastrophic' for Mexico
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