The company sought protection from creditors in the US Bankruptcy Court in Manhattan, reports TechCrunch….reports Asian Lite News
Amazon e-commerce business acquirer Benitago Group has filed for bankruptcy in the US, listing both assets and liabilities ranging from $50 million to $100 million.
Founded by Benedict Dohmen and Santiago Nestares in 2016, Benitago connects with self-starting Amazon business owners who are looking to sell their businesses.
According to the filing, the company sought protection from creditors in the US Bankruptcy Court in Manhattan, reports TechCrunch.
“Benitago has plans to restructure its debt and potentially sell off some parts of its business in bankruptcy,” the report noted.
The court filing listed entities, including intellectual property rights to 15 brands that sell over 300 products, including health supplements, office products and beauty products.
The company had raised around $380 million in equity and debt to fund acquisitions of brands built to sell on Amazon’s marketplace.
Benitago had about $7.5 million in cash at the time of the filing, the report noted.
Benitago rival Thrasio has also faced similar troubles, resulting in layoffs and the departure of key executives.
Thrasio was once valued at $10 billion before moving to the public markets.
Founded in 2018 by Joshua Silberstein and Cashman, Thrasio had a portfolio of tens of thousands of products.
Thrasio acquired more than 200 brands and raised more than $3.4 billion in funding.