VC-Backed Bust? Verari Systems

Verari Systems, a San Diego-based provider of data center consolidation platforms, shut its doors on Friday laid off most of its employees last week. The company had raised over $80 million in VC funding, from firms like Celerity Partners, Carlyle Venture Partners, Sierra Ventures and Voyager Capital.

UPDATE: Verari CEO David Wright tells InsideHCP that the doors are still open, even though most employees were laid off last week. He refers to the current process as a “controlled reorganization,” and that a skeleton crew is working on a way to fulfill customer orders.