SCHEDULE: IO Biotech Files for Chapter 7 Bankruptcy

IO Biotech, Inc. has ceased operations and filed for Chapter 7 bankruptcy, initiating the liquidation of its assets.

Summary

• IO Biotech, Inc. has ceased operations as of March 31, 2026.
• The company filed a voluntary petition for relief under Chapter 7 of the U.S. Bankruptcy Code.
• This filing initiates the liquidation of the company's assets.
• Claims will be paid according to the priorities outlined in the Bankruptcy Code.
• All members of the Board of Directors, including Christian Elling, resigned concurrently with the bankruptcy filing.
• Lundbeckfond Invest A/S, a reporting person, beneficially owns 21,851,920 shares of common stock, representing 27.4% of the class.
• This ownership includes 13,950,686 directly held shares and 7,901,234 shares issuable upon warrant exercise.
• The outstanding shares figure used for percentage calculation was 71,948,842 as of November 10, 2025.

Sentiment

Score: 1

Explanation: StockSavvy.ai views this filing as extremely negative, representing a complete failure and cessation of business operations, leading to asset liquidation.

Negatives

• IO Biotech, Inc. has ceased operations.
• The company has filed for Chapter 7 bankruptcy, indicating insolvency.
• All board members have resigned.
• Company assets will be liquidated.

Risks

• The primary risk is the complete cessation of operations and liquidation of assets, meaning no future business prospects for IO Biotech, Inc.
• Shareholders and warrant holders face the risk of losing their entire investment as assets are liquidated and claims are paid according to bankruptcy code priorities.

Future Outlook

The company has ceased operations and filed for Chapter 7 bankruptcy, indicating a complete liquidation of assets and no future business operations. The future outlook is solely focused on the bankruptcy proceedings and distribution of assets.

Industry Context

StockSavvy.ai notes that the Chapter 7 bankruptcy filing by IO Biotech, Inc. signifies a complete failure to achieve its business objectives, a stark contrast to companies in the biotechnology sector that are often characterized by long development cycles and high risk, but also the potential for significant returns upon successful drug development or acquisition.

Management Changes

Legal Proceedings

• Voluntary petition for relief under Chapter 7 of the United States Bankruptcy Code filed in the United States Bankruptcy Court for the District of Delaware.

Stakeholder Impact

• Shareholders: High likelihood of losing their entire investment due to asset liquidation and bankruptcy proceedings.
• Warrant Holders: High likelihood of losing the value of their warrants as the company's assets are insufficient to cover claims.
• Creditors: Will have claims paid according to the priorities set forth in the Bankruptcy Code, with the possibility of partial recovery.
• Employees: Employment has ceased with the company's operations.

Next Steps

• Liquidation of IO Biotech, Inc.'s assets.
• Distribution of proceeds from liquidation to creditors and potentially shareholders, according to bankruptcy code priorities.

Key Dates

Recommendation

The company has ceased operations and filed for Chapter 7 bankruptcy, indicating complete insolvency and liquidation. There is no ongoing business or prospect of future returns for investors.

Keywords

IO Biotech, Chapter 7 Bankruptcy, Liquidation, SEC Filing, Schedule 13D, Lundbeckfond Invest A/S, Bankruptcy Court, Corporate Governance, Warrants