The Colorado manufacturer of Niner bikes has filed for bankruptcy, saying it borrowed too much money during explosive growth that led it to reach more than $15 million in annual sales, WSJ Pro Bankruptcy reported. Executives who put the Fort Collins, Colo., company into bankruptcy on Monday said an extensive search for buyers earlier this year turned up a purchase offer from an investment group. The chapter 11 process will fast-track the company’s sale and give it access to a new loan so it can keep up with orders for the coming spring and summer season — its busiest time, they said. Chief Executive Chris Sugai said in court papers that Niner Inc.’s bike models, which are known for their 29-inch wheels, have drawn “a cult following within the mountain biking community” since he helped found the company in 2005. The bikes are sold through a network of about 400 U.S. dealers, while international sales in 35 countries bring in roughly 30 percent of its revenue, according to documents filed in U.S. Bankruptcy Court in Denver. Sugai didn’t state whether the company made a profit in recent years or why it borrowed money. He said broadly its debt has grown to nearly $8 million.
