ETtech Explainer: Why AI startup Builder. ai is filing for bankruptcy despite backing from Microsoft and QIA

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Builder.ai, the British artificial intelligence startup backed by Microsoft and the Qatar Investment Authority (QIA), is filing for bankruptcy after a key lender seized most of its cash reserves, the company’s CEO said.

What triggered the bankruptcy?

Viola Credit, which extended $50 million in debt to the company last year, withdrew $37 million from Builder.ai’s accounts, leaving it with just $5 million, chief executive Manpreet Ratia said in an interview on Tuesday, according to Bloomberg. Ratia did not specify the reason for the seizure.The…



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ETtech Explainer: Why AI startup Builder. ai is filing for bankruptcy despite backing from Microsoft and QIA


Builder.ai, the British artificial intelligence startup backed by Microsoft and the Qatar Investment Authority (QIA), is filing for bankruptcy after a key lender seized most of its cash reserves, the company’s CEO said.

What triggered the bankruptcy?

Viola Credit, which extended $50 million in debt to the company last year, withdrew $37 million from Builder.ai’s accounts, leaving it with just $5 million, chief executive Manpreet Ratia said in an interview on Tuesday, according to Bloomberg. Ratia did not specify the reason for the seizure.The…



Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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