BlackRock Inc. has written off a $25 million loan to Infinite Commerce Holdings, slashing its value from 100 cents on the dollar to zero in just three months. The Amazon aggregator, which buys online sellers of products ranging from spa treatments to light bulbs, saw its debt wiped out as part of BlackRock TCP Capital Corp.'s fourth-quarter filings.

This marks the second sudden valuation collapse in BlackRock's private-credit division after a similar write-off for Renovo Home Partners in November. The abrupt markdown exposes a critical flaw in private credit: the lag between reported valuations and deteriorating company performance. Zips Car Wash was similarly valued near par before seeking bankruptcy protection.

The write-off follows Infinite Commerce's August merger with Razor Group, another BlackRock debtor, creating a new debt structure that was initially valued at par. Like other private credit lenders, BlackRock is grappling with a sharp reversal in the Amazon aggregator sector, which boomed during COVID-19 but has since faced mounting challenges including debt restructurings and inventory cost pressures from tariffs.