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Americanas Files for Bankruptcy Protection in Brazil Court

  • Retailer reported 43 billion reais in liabilities in filing
  • Firm revealed $4 billion hole in balance sheet just last week
A customer exits an Americanas store in Rio de Janeiro, Brazil, on Jan. 13, 2023.Source: Bloomberg
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Americanas SA, the Brazilian retailer backed by billionaire Jorge Paulo Lemann, filed for bankruptcy protection at a court in Rio de Janeiro citing liabilities of about 43 billion reais ($8.2 billion).

The filing comes just days after the disclosure of 20 billion reais of accounting “inconsistencies” on Jan. 11, which sparked a massive sell-off in its stocks and bonds. It also led creditors to block deposits and ask for early redemption of debts, leaving the company almost without cash for basic operations.