China’s Missfresh – a Nasdaq-listed grocery delivery service – made a sudden declaration on Thursday that it had run out of money and that most employees would be laid off immediately, according to a report by the South China Morning Post, which added that hundreds of suppliers were unpaid and it was not sure when its sacked workers would get wages owed for June and July.
The company, which had raised up to $2 billion from major investors such as Tiger Global and Tencent Holdings, blamed delayed investment from a coal mining firm for its collapse, the report said. However Beijing’s strict lockdown policy was also a key factor, it added, because it had led to low consumer spending.
Read the full report: South China Morning Post.
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