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Wednesday 21 March 2018

Thor Drinks Collapses after raising cash on Crowdcube


Thor Drinks has put itself into liquidation having raised £45k on Crowdcube three years ago.


This one is pretty much the usual sorry Crowdcube story. The 'left hung out to dry' trade creditors owed £130k, might not see it that simply. The more sorry businesses Crowdcube funds, the more contagion they enable with unpaid creditors. That is an excellent plan Thor. Kill me with a tray. 

The company never got close to any of its annual projections and with mounting losses it has closed. That is what happens if you have product no one wants to buy. 

This is what Crowdcube said about their exit strategy - 

The exit strategy is based on a 5 to 7 year plan. While a trade sale is one option, the most likely would be sale to a private equity to a firm that specialises in FMCG.
Examples of such sales include Bottle Green, which initially received £5 million investment from Piper Equity in 2007, and then more recently on to SHS for £30m
With a forecast EBITDA of £1.5m in year 5, we estimate a 9x return for investors.
Ah well another time maybe. Take him away. 

1 comment:

  1. Ah - the man with the violin! Nice guy, and pretty nice drinks, but no social media or exit strategy, so passed in the end. Shame.

    ReplyDelete