Holiday firms Laterooms and Superbreak have both gone bust, affecting tens of thousands of travellers who had prior bookings.
Malvern Group, which owns both the hotel reservations platform and the York -based holiday firm Superbreak, ran out of cash before it could secure a sale, it was revealed late on Thursday.
It comes after Cox & Kings India defaulted on loan repayments, which led to the withdrawal of any further funding for Malvern, the Mirror reports .
Malvern was then unable to secure interim funding from banks - and ran out of money.
It's believed the move could affect around 50,000 people with bookings.
Hugo Kimber, Malvern executive chairman, said: "This is a devastating blow for all of our wonderful employees who have invested so much time and effort into building Malvern, its brands and trips technology platform.
"This is equally difficult for all our suppliers, partners and customers who will be impacted by this news. To be so close to delivering our goal of an integrated, dynamic and commercially successful business, that could provide significant value through its innovative products, is heart-breaking."
You can find out more about the unfolding situation - including advice for people who have bookings here .
