Sprinkles Cupcakes, the specialty bakery chain known for its cupcakes and ATM-like vending machines, ceased operations on December 31. Candace Nelson, who founded Sprinkles in 2005, announced the closure via social media, expressing surprise at the turn of events.

Nelson sold the California-based business to private equity firm KarpReilly LLC in 2012. Neither Nelson nor KarpReilly provided a reason for the closure. "As many of you know, I started Sprinkles in 2005 with a KitchenAid mixer and a big idea," Nelson stated on Instagram. "While she no longer has a role in the business, she added, its surreal to see this chapter come to a close and its not how I imagined the story would unfold."

Sprinkles Cupcakes is credited with igniting a cupcake craze, leading to the emergence of numerous boutique competitors. The company expanded beyond traditional bakeries by introducing cupcake vending machines, which dispensed the treats and played a song with each purchase.

On Friday, the company's website indicated that nationwide shipping was unavailable. An advertisement for a New Year's Eve dozen cupcakes redirected to a "page not found" error. The locations link stated, "When its gone, its gone."