GNC Holdings File For Bankruptcy While S’pore Store Not Affected
Image by Zhangxin Zheng
GNC Holdings is reported to CNN and Bloomberg among many others big company chains which just filed for bankruptcy protection in the United States on 24 June. This 85 year-old-company is having nearly US$1 billion in debt and faced declining sales before the start of the pandemic.
Source
Currently, GNC holding is planning to close up to 1,200 stores of it’s 5,800 retail stores there. However, GNC in Singapore has issued that the bankruptcy protection will not interrupt Singapore operations. This is due to ONI Global PTE Ltd is the sole franchisee for the GNC Singapore, Malaysia, Philippines, and Taiwan.
GNC Holdings mentioned that during the Covid-19 pandemic, it has prevented the company from accomplishing the refinancing plans and leading towards bankruptcy after failing to secure the US $130 million fresh financings from its largest vendor IVC vitamin supplier. At the moment, 30% of its store in the U.S and Canada are temporarily forced to close due to pandemic.