Theranos alliance that went bust cost Safeway US$400mil

Former Safeway boss Steven Burd sank RM1.66bil investing into Theranos machines, which came to nothing, an example of how even businessmen were tricked, say prosecutors in Elizabeth Holmes’s trial. — Bloomberg

Former Safeway Inc. Chief Executive Officer Steven Burd sank US$400mil (RM1.66bil) on his dream of transforming his grocery store chain into a one-stop shopping destination for food, blood-testing and drug prescriptions in partnership with Theranos Inc.

That Burd’s vision never materialised before his 20-year tenure at Safeway ended was meant by prosecutors as an object lesson for the jury in Elizabeth Holmes’s criminal trial: she was capable of duping even a seasoned chief executive officer and former private-equity adviser into investing in the startup that ultimately collapsed.