VRM - Vroom To Stop Ecommerce Operations Will There Be Any Meat Left On The Bone?

2024-01-24 03:34:39 ET

Summary

• VRM announces a halt in buying and selling on Vroom.com and plans to sell current inventory through wholesale channels.
• The decision was made due to a lack of financing for expansion and the challenges of operating in a fragmented used car market.
• The remaining assets of Vroom include United Auto Credit Corporation and CarStory, but their value is uncertain and dependent on the success of winding down operations.

The Announcement

Vroom ( VRM ) announced yesterday that they will be winding down their used vehicle dealership business . They said they will be halting both buying and selling on Vroom.com and looking to sell their current inventory through wholesale channels. It seems that the reason for this decision was that they no longer could access financing needed to expand and that expansion was necessary to ever reach profitability....

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