Honestbee announced today that they are ceasing their food delivery and takeaway services in Singapore as part of an “in-depth strategic review of the business”.
In addition, it said that they are also temporarily suspending its laundry service. The last day to place an order will be on 17 May (Friday).
Both of these announcements will take effect from 20 May (Monday).
These news are in contrast to honestbee’s previous media statement which said that its “status … in the remaining markets (including Singapore) remain unchanged”.
According to honestbee, this move was necessary to “optimise the business structure, and to drive better focus and alignment with honestbee’s current strategic priorities.”
To add on, approximately 400 delivery bees are affected by this news.
Honestbee understands that these ‘bees’ play a key role, so it assured that they will “assist all delivery bees” during this transition.
Honestbee also emphasised that its headcount in Singapore remains unaffected.
Meanwhile, its grocery delivery service and their physical space — habitat by honestbee — will continue to operate as per normal.
This is surprising, since co-founder Jonathan Low said that habitat has not yet turned profitable since its launch last year, although he is confident that they will get there in time to come.
New CEO, New Direction?
Earlier this month, honestbee saw a change in leadership with founder Joel Sng stepping down from his CEO role.
He was replaced by Brian Koo (or Koo Bon-woong), who is a descendent of South Korean electronics firm LG’s founding family.
Following this new appointment, Koo has said that he will conduct a business review to focus and align honestbee’s strategic interests and articulate a clear vision for honestbee’s future.
Other new appointments include Roger Koh as chief financial officer (the firm previously did not have any CFO role), Victor Chow as chief operating officer, co-founder Jonathan Low as chief technology officer, and Varian Lim as chief of staff.
This newly-appointed executive team is “working on future plans to stay relevant and sustainable in today’s rapidly-changing business environment”, according to the firm.
Honestbee has been under fire in recent months for its cash crunch issues, and has been making headlines for its global layoff and multiple “temporary pause” in operations and partnerships.
It is also rumoured to be in talks with ride-hailing firms Go-Jek and Grab, among other companies in Asia, to sell its company.
On Wednesday, Business Times reported that honestbee had sought investors earlier this month to raise funding of at least $20 million.
Featured Image Credit: honestbee
