Bootie Beer Co. has filed a voluntary petition under the provisions of Chapter 7 of the US Bankruptcy Code in a Florida court.

The subsidiary of TMT Capital Corp. filed for bankruptcy protection on Monday (31 December), the company said. Bootie's creditors will be notified in writing how to contact the trustee.

TMT Capital CEO Tania Torruella said: "This action is the necessary and a responsible step to preserve TMT Capital Corporation's value for our creditors, customers, employees, subsidiaries, business partners and other stakeholders. We are saddened by this action and the circumstances that necessitated it, but our first priority remains our shareholders. We are committed to provide them shareholder value and this action will improve operations by permitting an independent trustee to investigate and process Bootie's assets and liabilities."

Last May, Bootie Beer posted a large dip in net losses for the first three months of this year. The US company said that net losses for the quarter rose to US$17.3m, against losses of $2.9m in the corresponding period a year earlier.