LetsBuyIt.comhas formally applied for bankruptcy at the Amsterdam district court.
The Van Doorne law firm, appointed by LetsBuyIt.comto deal with insolvency proceedings, has issued a statement saying the internet retailer company has filed for the conversion of the suspension of payments into bankruptcy.
No further details were given by the law firm.
LetsBuyIt.comwas granted a provisional suspension of payments on December 29th to look for investors in a last-ditch attempt to restart operations.
Today's move is an indication that the company has failed.
Under Dutch law, firms facing insolvency proceedings are given a last chance to reorganise under protection from creditors before the court decides whether they should be dismantled.
On January 4th, LetsBuyIt.comsaid its management board had resigned, handing over all administrative tasks and financial management to founder and supervisory board member John Palmer, who was appointed chief executive.
Prior to today's announcement, trading in LetsBuyIt.comshares was suspended at noon on the technology-heavy German Neuer Markt.
LetsBuyIt.com's17.8 million shares on the Neuer Markt were valued at 0.46 euros each before trading was suspended. Last July, they were worth 3.5 euros each.
PA