AFAIK half of the personnel is temporarily laid off. Negotiations have been with single investor for three months, but at the last minute it was delayed, thus they were unable to deliver the Tablets. Negotiations still go on, debt restructuring of course looks ugly but it's a means to protect the company for duration of time so they can close the funding round during December - if they can. Another thing is that they might need to change the way Sailfish OS is handled, as there is demand for it to be modified to several different purposes, but Jolla has been very protective about it to avoid fragmentation of the platform (Android suffered from severe fragmentation issues and it was sorted out more or less harshly if I remember it correctly...) but opening it up to modifications and different purposes IMO are essential for the vitality of the platform in the long run. This might be one thing they are discussing with the investor X.

However, if this investor X folds, Jolla will not be able to keep the talent to keep Sailfish OS in continued development and most likely they end up in bankruptcy. Someone else takes over the assets and our little community will pop some champagne for celebrating yet another failed attempt to challenge iOS/Android duopoly....