Thrasio, an early chief within the large enterprise of Amazon aggregators, had a sales space on the fashionable Prosper Present for Amazon sellers in Las Vegas, Nevada, on July 14, 2021.
Katie Schoolov
Thrasio, an early chief in aggregating Amazon sellers, filed for Chapter 11 chapter safety in a New Jersey courtroom Wednesday.
The corporate stated it had agreed with lenders to shave about $495 million off its debt load. Thrasio stated some collectors have dedicated to supply it with as much as $90 million in contemporary capital, which it stated will go towards ongoing operations, and allow it to maintain operating manufacturers in its portfolio.
“Thrasio is without doubt one of the largest third-party sellers on the Amazon market, and with a strengthened stability sheet and new capital, we shall be higher outfitted to assist our manufacturers, scale our infrastructure and allow future alternatives,” Thrasio CEO Greg Greeley stated in a press release.
Thrasio and different Amazon aggregators raised billions of {dollars} from traders seeking to money in on the third-party vendor rollup craze. Aggregators purchased up promising merchandise and storefronts on Amazon, to make use of their knowledge and operational experience to turbocharge gross sales. However the hype started to fizzle final yr because the pandemic ended, e-commerce development slowed, and financial uncertainty elevated.
Thrasio, which ranked fortieth on the 2022 CNBC Disruptor 50 checklist, raised $3.4 billion. The corporate at one level eyed going public by means of a particular goal acquisition firm, or SPAC, however the plans had been shelved because of a sophisticated auditing course of, CNBC beforehand reported.
The corporate laid off about 20% of its staff in 2022 and noticed a number of executives depart, together with co-founder Josh Silberstein. That yr it named Greeley, a 19-year veteran of Amazon who oversaw the event of its Prime loyalty program, as its CEO, succeeding co-founder Carlos Cashman, who stays a member of Thrasio’s board.
WATCH: What’s behind the massive hype and billion-dollar aggregator start-ups shopping for Amazon vendor manufacturers
