Holmes Backer Raises $18M for New Blood Test Startup

Elizabeth Holmes, serving a ten-year sentence for investor fraud, is actively advising a new blood-testing startup from her prison cell in Bryan, Texas. The company, named Haemanthus, has raised approximately $18 million to develop AI-driven laser scanning devices for medical diagnostics. According to reporting by GN markets/health (en-US), Holmes has been providing strategic guidance to the venture’s leadership despite the company’s insistence that she holds no formal role.

The startup is led by Holmes’ husband, Billy Evans, who is currently 33. The business model mirrors the failed technology of Theranos, promising to detect diseases using laser scans of blood samples rather than traditional laboratory methods. However, unlike its predecessor, Haemanthus has not yet launched publicly and lacks disclosed scientific advisors or peer-reviewed research to validate its claims. Sources indicate that the venture is still in the pre-launch phase with no active product market.

Investors Reject New Venture

Despite the $18 million capital raise, the company has faced significant resistance from institutional investors. Venture capitalist Jim Breyer stated in May 2025 that his team declined to invest, citing reasons similar to those for their previous rejections of Theranos. Michael Dell also reportedly turned down the opportunity to participate in the round. The funding breakdown includes $3.5 million from friends and family and $15 million from other private sources, according to the New York Times.

Legal Status and Prison Work

Holmes was convicted in 2022 for defrauding investors and is currently serving her sentence at Federal Prison Camp. She is working for $0.31 per hour, assisting other inmates with resume writing. The Ninth Circuit Court of Appeals recently rejected her appeal, citing overwhelming evidence of fraud. She and former COO Ramesh Balwani are jointly liable for $452 million in restitution to investors who suffered losses when the original company collapsed.

During a recent interview with People magazine, Holmes asserted that she continues to work on research and inventions daily. She expressed commitment to making affordable healthcare solutions available to the public. Her co-defendant, Balwani, is serving a 13-year sentence. The original Theranos company shut down in 2018 after a Wall Street Journal investigation revealed that its technology did not function as advertised and that blood samples were secretly processed on commercial lab machines.