💥New Chapter 11 Bankruptcy Filing - Thrasio Holdings Inc.💥
Amazon aggregator descends into bankruptcy.
MA-based Amazon third-party seller/aggregator Thrasio Holdings Inc. (“Thrasio”) first garnered our attention way back in May ‘22 when, in our May 8 paying-subscribers’-only newsletter titled …
… we included “Amazon Rollups” as our #1 loser of the week. Highlighting Thrasio specifically, we quipped “Short AMZN Aggregators.”
We followed up on Thrasio in our presciently-titled September 10, 2023 edition:
It seems the answer is ‘yes.’
On February 28, 2024, Thrasio and over 200 affiliates (collectively, the “debtors”) filed prearranged chapter 11 bankruptcy cases in the District of New Jersey (Judge Gravelle); it is the second Amazon aggregator* to end up in bankruptcy (see also Benitago Inc., which filed in Q2’23).**
What is an Amazon aggregator? Good question, they’re best summarized as a company that blindly acquires any seller of useless commoditized products sold on Amazon strategically rolls up independent vendors on Amazon to leverage economies of scale. Since its founding in 2018, Thrasio has gone on to acquire over 200 brands from over 250 sellers.