Despite ceasing operations last month, McLean, Va., cyber company IronNet isn’t quite done yet, Technical.ly reported. The company announced plans to file for chapter 11, and around the time the company closed operations, a Securities and Exchange Commission filing said that IronNet would likely have to file for chapter 7. According to a press release, IronNet inked a binding term sheet with ITC Global Advisors for a $10 million debtor-in-possession financing facility. In the following days, the company filed motions for relief that would allow it to continue its operations throughout the restructuring, which were approved Oct. 13. The court also authorized an interim reinstatement agreement with Amazon Web Services so IronNet could reactivate its cloud-computing tools. Signs of significant trouble first emerged in September, when IronNet curtailed operations and furloughed almost all of its employees, eyeing bankruptcy. A few weeks later, it officially ceased operations and terminated the remaining employees of the company and its subsidiaries, but IronNet’s issues go even further back. In 2021, it went public via a SPAC merger with LGL Systems, but it has since been delisted. A suit filed against the company in 2022 claimed IronNet’s then-CEO Keith Alexander misled investors and falsified claims around government contracts and revenue dollars. The company laid off approximately 35% of staff in September of last year after reporting huge losses and missing quarterly report filings, as well.
