CARLSBAD — Unable to negotiate a merger or arrange for additional financing, Vuebotics Corp. sought protection Friday under Chapter 11 of the U.S. Bankruptcy Code. The company said it is "experiencing severe financial difficulty, and liabilities substantially exceed assets," though the actual amounts aren't yet known.
The company's cash position deteriorated to the point that it fired almost all of its 40 employees because it hadn't any funds to pay wages.
Vuebotics said that "several" employees are continue to work on a contract basis but that Chief Financial Officer Paul Sager had resigned.
President David Klipstein was out of the country Friday and could not be reached for comment.
Vuebotics, which produces sensory devices for industrial robots, said it will continue to "pursue a limited number" of merger possibilities.
"However, no arrangements have been reached (and) there isn't any assurance any arrangements will be made," the company said.
If a merger or sale is not arranged, "it is unlikely that shareholders will realize any return on their stock," the company said.