Embattled German PC assembler and retailer Escom is filing for bankruptcy proceedings, the company has announced.
Escom's court-appointed receiver says that it would not be possible to reach an agreement with creditors, after weekend discussions over a rescue plan for the financially troubled company failed. Escom is declining further comment after issuing a brief statement.
The company's recent claim to fame on an international front was its attempt to revive Amiga Technologies, which it bought last year for US$10 million, selling it earlier this year for US$40 million.
Escom has blamed its financial situation on higher-than-expected startup costs for the 200 Rumbelows retail outlets that the company acquired in the UK last year, instantly making it one of the biggest computer retailers in the country.