(News Bulletin 247) – The Belgian company specializing in the distribution of pharmaceutical products has “admitted bankruptcy”.

The pill is bitter for the shareholders of Pharmasimple, whose title has been suspended from trading since Tuesday at a last price of 0.013 euros. The Belgian company specializing in the sale of pharmaceutical and parapharmaceutical products online and in physical stores announces that it has filed for bankruptcy.

Pharmasimple explains in its press release that it is experiencing significant cash flow difficulties, which has led it to find itself in a situation of cessation of payment and “credit shake”. This precarious situation in which Pharmasimple currently finds itself follows the decision taken at the beginning of May by one of its strategic financial partners not to pursue the financing of the company provided for contractually between the parties.

The company therefore indicates that it has “admitted bankruptcy” on Tuesday. She has been summoned to appear at a hearing on May 22, 2023 before the first chamber of the Hainaut Division of Charleroi Company Court, during which the court will rule on the situation of Pharmasimple.

A first alert

As of September 2022, rumors circulating on social networks and stock market forums cast doubt on Pharmasimple’s financial health.

The company had stepped up to the plate and had then refuted “any allegation concerning a situation of insolvency or bankruptcy”. She said she was actively carrying out an “ambitious” transformation strategy intended to constitute a powerful group for the distribution of pharmaceutical and parapharmaceutical products with a plan to buy 150 pharmacies in 5 years.

But last month, the company made no secret of its financial situation. Pharmasimple said it had a net debt of 1 million euros to which was added 2 million euros in supplier debts at the end of March 2023.

The company indicated that it had taken measures to reduce its debt and intended to resume its pharmacy acquisition program as soon as its total debt had returned to a level of around one million euros. But the defection of one of its strategic partners will have got the better of the ambitions of the company founded in 2010 by Michael Willems.

Remember that Pharmasimple took its first steps on the Free Market, the former name of Euronext Access, in November 2016 at an IPO price of 7.50 euros through a direct listing, before going up to the tier on Euronext Growth, the compartment dedicated to small and medium-sized enterprises.