Significant Bankruptcy Proceedings Commence for Memcas in Canary Islands

Overview of the Case

One of the most significant bankruptcy proceedings in the Canary Islands in 2025 has been initiated, involving the company Memcas. Established in 1992, Memcas specialises in the sale of clothing and sports equipment. The Commercial Court No. 2 of Santa Cruz is currently handling the case and has stripped the company of its management and asset disposal rights. Additionally, economist Rafael Martín Rueda from Madrid has been appointed as the bankruptcy administrator.

Financial Troubles

Memcas has defaulted on bank loans totalling €200,000, a situation that has led to the company’s insolvency. Memcas operates under the brands Deportes Natalia and Life Sport Outlet. The former has multi-brand stores located in Candelaria, La Orotava, and San Cristóbal de La Laguna, while the latter functions as a discount format retail outlet.

Business Operations and Employment

Deportes Natalia is part of Base, one of the main purchasing networks in the sector, with a presence in various Canary Islands shopping centres as well as in Madrid. Currently, Memcas employs 100 staff members. In 2023, the latest published data indicates that the company achieved a turnover of €15 million, with a net profit of approximately €500,000. However, the balance sheet reveals €8 million in financial debt and €3.8 million in obligations to commercial creditors.

Public Assistance

Memcas has previously received public assistance on multiple occasions. In 2024, the Ministry of Economy, Industry and Commerce granted it a subsidy of €4.7 million. Between 2021 and 2022, the Ministry of Economy provided guarantees nearing €2 million to help mitigate the pandemic’s impact.

Management and Location

The sole administrator of the company is Pedro Castillo Rodríguez, while his children, Raúl, José, and Patricia Castillo González, are listed as authorised representatives. The company’s headquarters is located at 33 Pérez de Rosa Street, Santa Cruz.