Cosmetics retailer Icon, which founder Elliot Yuen Wai-kuen hoped to expand across Asia as a chain of megastores and in cyberspace through parent firm Dream Asia, has gone into voluntary liquidation with debts of more than HK$26.16 million.
At a creditors' meeting attended by more than 60 people yesterday, liquidator CCIF Corporate Advisory Services gave details of Dream Asia's debts. The list of creditors, excluding employees, shareholders and related companies, filled nearly two pages.
Mr Yuen declined to provide the total amount owed, saying he did not want to talk about the unhappy tale of his company's demise.
'Liquidation is a sad story to everybody, including myself,' said the experienced retailer.
Liquidator Jim Wardell of CCIF said the poor retail environment and a negative attitude towards dotcoms struck down Dream Asia.
Mr Yuen, who said he was a significant Dream Asia creditor, said: 'Now I have to close down the company that I founded.'
Last year, Mr Yuen launched the Icon cosmetics megastore in Causeway Bay, along with online operations with the help of purchases such as looks.com and ecosmetics.com.hk. As recently as March, he had hopes of eventually expanding in Australia, Japan, Malaysia, Singapore, South Korea and Taiwan, with an initial investment of US$10 million. Company backers included IBM, Jebsen & Co and HSBC.