Online car seller Cazoo has fallen into administration, after slashing hundreds of jobs as part of a heavy restructuring.
The company has appointed administrators from Teneo, who will seek to sell of Cazoo’s remaining marketplace business.
The insolvency experts said they will retain the firm’s 208 remaining staff for the time being during the administration process.
Cazoo, which was founded in 2018 by serial entrepreneur Alex Chesterman, has cut 728 jobs since the start of March after launching dramatic cost-cutting efforts in an effort to stay afloat.
Matt Mawhinney, joint administrator at Teneo, said: “Following our appointment, we continue to progress discussions with a number of interested parties on the marketplace business and remaining customer collections centres.
“The marketplace model is performing ahead of expectations, with strong dealer sign up, and the administration appointment provides us with an opportunity to secure a sale of the business over the course of coming weeks.”
The company was founded in the UK but listed in New York in 2021 – in a move deemed to be a blow for London at the time – with a valuation of around £5 billion.
