SmileDirectClub Files for Bankruptcy, Capping Years of Losses

Monitors display SmileDirectClub Inc. signage during the company's initial public offering (IPO) at the Nasdaq MarketSite in New York, in Sept. 2019. 

Photographer: Michael Nagle/Bloomberg
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Dental aligner company SmileDirectClub Inc. filed for bankruptcy four years after raising $1.35 billion in an initial public offering.

The Chapter 11 filing in Texas on Friday allows the company to continue operating while it works out a play to repay creditors. The company’s founders will invest at least $20 million into the company as part of its reorganization, according to a statementBloomberg Terminal.