IngredientsNet.com suspends activities
this week that it is to suspend operations due to a lack of
investment.
Irish-based ingredients B2B platform IngredientsNet.com announced this week that it is to suspend operations due to a lack of investment. The suspension will have immediate effect. The decision was taken by the Board, having taken into account the significant additional capital requirements of the business going forward, together with a negative capital market environment for e-commerce projects. In a statement, Tom Galvin, Chief Executive Officer, commented that the IngredientsNet.com processes and technology had worked well but "the company has significant capital requirements to progress to profitability, which it was originally anticipated would be sourced from external investors," he said. "With this capital currently unavailable, regrettably the decision was taken to suspend operations." IngredientsNet.com was founded by Irish agribusiness groups Fyffes and Glanbia who both invested US$2.5m in startup capital in March 2000. The platform commenced trading in August 2000. Venture capital in dot com ventures is becoming increasingly difficult with the hay days of open wallets now at an end. IngredientsNet.com is yet another dotcom venture to be affected by the violent winds of change.
