Germany-based car-scanning startup Twinner has filed for insolvency. The company had begun searching for an international investor to reorganize its financing last year, but called in administrators in December after failing to find one.

“Due to the immense development effort, Twinner has not yet been able to break even. The company therefore necessarily needs a new investor in order to further develop its innovative business model and make it profitable in the long term,” said provisional insolvency administrator Lucas Flöther.

The company, which launched in 2017 in Leipzig and later moved to Halle, develops scanner technology that can create digital images of the interior and exterior of cars with the goal of having more “transparency, security and trust” in vehicle trading. Sixteen of these scanners are currently in operation across Germany, and in late 2022 it partnered with Germany-based car-auction platform CarSale24 to offer a digital process for car sellers.

In mid-2021, Twinner raised €40 million ($43.9 million U.S.) in a funding round, but over time it had to cut costs, such as the number of employees, which has gone from more than 150 to 65 currently. 

Flöther is currently looking for a new investor for the company and, according to a Twinner press release, interested parties have been found. “For investors, entering a company during insolvency proceedings is much more attractive. They can take over a business that is free of inherited liabilities and then start over,” he said.

Twinner is headquartered in Halle (Saale), where 18 of the 65 workers are employed. It has two subsidiaries in Hungary that have not yet filed for insolvency.

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