How a Costco partner's bankruptcy could benefit its biggest rival

Synergy CHC Corp, a maker of the Focus Factor brain supplement, filed for Chapter 11 bankruptcy protection on September 4, 2026. Costco discontinued Focus Factor products after a 16-year partnership, accounting for approximately 58% of the company's net revenue in the fiscal year ended December 31, 2025. This decision triggered an $18.9 million debt acceleration from its lender, making Chapter 11 inevitable.

Reckitt Benckiser (RBGLY), Synergy CHC's biggest rival, currently trades at $14, down 10.62% year-to-date. The Synergy CHC situation highlights how critical retail concentration can be as a risk factor. The bankruptcy demonstrates the immediate impact of a single major retail partner's decision on a company's financial stability.