Major Amazon merchant aggregator Thrasio files for bankruptcy as it looks to cut debt

Date:

Share post:


NEW YORK — A major third-party seller on Amazon filed for Chapter 11 bankruptcy protection in a New Jersey court on Wednesday.

Walpole, Massachusetts-based Thrasio is asking the court to oversee a restructuring agreement with lenders, which will allow it to cut about $495 million in debt and defer its interest payments for a year after it exists bankruptcy.

Thrasio is what is known as an Amazon aggregator, companies that buy other, smaller Amazon sellers, the independent businesses responsible for the majority of sales on the dominant e-commerce platform.

Aggregators raised large sums from investors seeking to cash in from Amazon sellers as online sales boomed during the COVID-19 pandemic. But that growth slowed as the pandemic eased and shoppers began to purchase more items in person, or shifted their spending toward other things, like traveling and dining.

Last year, another Amazon aggregator, Benitago, filed for bankruptcy .

In its filing, Thrasio said it has received commitments of up to $90 million in new financing from lenders. It lists up to $10 billion in assets and up to $1 billion in liabilities.

“Thrasio is one of the largest third-party sellers on the Amazon marketplace, and with a strengthened balance sheet and new capital, we will be better equipped to support our brands, scale our infrastructure and enable future opportunities,” CEO Greg Greeley said in a statement.



Source link

Lisa Holden
Lisa Holden
Lisa Holden is a news writer for LinkDaddy News. She writes health, sport, tech, and more. Some of her favorite topics include the latest trends in fitness and wellness, the best ways to use technology to improve your life, and the latest developments in medical research.

Recent posts

Related articles

Hochul announces budget outline as lawmakers continue to hash out details

ALBANY, N.Y. -- New York Gov. Kathy Hochul on Monday announced the framework of a $237 billion...

Boeing pushes back on whistleblower's allegations and details how airframes are put together

Boeing is defending the integrity of the fuselages on two of its largest planes, which have come...

It's Tax Day. And your refund may be big this year

WASHINGTON -- On this Tax Day, refunds are looking a bit bigger for taxpayers. According to the...

M&T Bank, Goldman Sachs rise; Salesforce, Tesla fall, Monday, 4/15/2024

Stocks that traded heavily or had substantial price changes on Monday: M&T Bank, Goldman Sachs rise; Salesforce,...

The pilots union at American Airlines says it's seeing more safety and maintenance issues

DALLAS -- The pilots union at American Airlines says there has been “a significant spike” in safety...

New rules for Pregnant Workers Fairness Act include divisive accommodations for abortion

NEW YORK -- Workers are entitled to time off and other job accommodations for abortions — along...

Trump Media stock slides again to bring it nearly 60% below its peak as euphoria fades

NEW YORK -- The stock price for Donald Trump's social media company slid again Monday, pushing it...

Tesla plans to lay off 10% of workforce after dismal quarterly sales, multiple news outlets report

DETROIT -- After reporting dismal first-quarter sales, Tesla is planning to lay off about a tenth of...