Sientra Files For Bankruptcy; Stock Tanks 65%

(RTTNews) - Surgical aesthetics company, Sientra, Inc. (SIEN), announced on Tuesday that it filed for Chapter 11 protection in the U.S. Bankruptcy Court for the District of Delaware for the sale of its business.

Following the announcement, Sientra's stock plummeted 65.81 percent, to $0.20 over the previous close of $0.585 on the volume of 1,635,724 on the Nasdaq. It had traded between $0.25 and $4.93 in the past 52 weeks.

The company further stated that it will utilize $22.5 million debtor-in-possession financing from existing lenders, which also includes an additional $67.5 million of Sientra's prepetition debt obligations, along with existing cash reserves to support the ongoing operations.