China News Service, April 16 (Reporter Xie Yiguan) La Chapelle, a fast fashion company once known as "China's version of ZARA", has now reached the stage of delisting.

*ST Lasha was terminated by the Shanghai Stock Exchange

  On the evening of April 14, *ST Laxia issued an announcement on the termination of the listing of the company's A shares, saying that according to relevant regulations, the Shanghai Stock Exchange decided to terminate the listing of the company's A shares.

  La Chapelle also issued an announcement about the company's A shares entering the delisting period.

The announcement stated that the company's A shares will enter the delisting arrangement period for trading on April 22, and the delisting arrangement period is 15 trading days.

Within 5 trading days after the expiry of the delisting arrangement period, the Shanghai Stock Exchange will delist the company's A shares.

  A reporter from China-News Finance and Economics noticed that the stock price of *ST Laxia is currently fixed at 1.05 yuan, with a total market value of 580 million yuan.

Compared with the highest of 31.42 yuan, it has dropped by 96.7%.

As of February 28, 2022, *ST Lasha has 12,675 shareholders.

Lost nearly 5 billion in four years, was filed for bankruptcy liquidation

  *ST Laxia's 2021 annual report recently released shows that due to the epidemic and the company's closure of offline channel business outlets, reduction in purchases of goods, and transformation of its online business model, its operating income was 430 million yuan, a year-on-year decrease of 76.36%, attributable to The net profit loss of shareholders of listed companies was about 820 million yuan, a decrease of 1.02 billion yuan from the previous year.

  According to the data published in the financial reports over the years, from 2018 to 2021, La Chapelle lost a total of about 4.987 billion yuan.

  It is worth mentioning that, in addition to facing delisting, La Chapelle is still on the verge of bankruptcy.

  In November 2021, *ST Laxia issued an announcement that the company's creditors Jiaxing Chengxin Garment Co., Ltd., Haining Mangrove Clothing Co., Ltd., and Zhejiang Zhongda Xinjia Trading Co., Ltd. submitted a "Bankruptcy Application" to the court, applying for the bankruptcy of Laxia. Chapelle went into bankruptcy liquidation.

In December 2021, a new creditor, Pinghu Yurong Garment Co., Ltd., applied for bankruptcy and liquidation.

Once the industry revenue NO.1, now it is riddled with lawsuits

  La Chapelle, who is now in trouble, also had a glorious time.

  In 1998, Xing Jiaxing, the founder of La Chapelle, founded La Chapelle.

In 2007, La Chapelle received the first round of financing, and in 2009, it received investment from Legend Capital, and has expanded rapidly since then.

Screenshot of La Chapelle's official website page.

  In 2014, La Chapelle went public in Hong Kong.

In 2017, it landed on the A-share market again and became the first domestic apparel company to be listed on the "A+H" two places. At that time, La Chapelle had nearly 10,000 stores and more than ten private brands across the country, and it was always in the limelight.

In 2018, La Chapelle's revenue exceeded 10 billion yuan, and it once became the women's clothing listed company with the highest revenue in China.

  However, the rapid expansion has also left hidden dangers for the brand. On the one hand, the inventory backlog is too high, and on the other hand, it is frequently caught in quality and design disputes.

In addition, the company's "multi-brand, direct-operated-based" business model cannot exert the effect of 1+1>2, but instead leads to increasing operating costs.

  In 2019, in response to the declining performance, La Chapelle chose to close down loss-making stores, open franchise and associate stores, and sell some fixed assets.

But in 2020, due to the impact of the new crown pneumonia epidemic, the clothing industry was bleak, and La Chapelle's revenue was "Waterloo" again and became *ST La Chapelle.

  In addition to the "stars and hats" of stocks, La Chapelle is also facing insolvency.

As of December 31, 2021, La Chapelle's total liabilities were higher than its total assets by 1.51 billion yuan.

  La Chapelle also reflected in its 2021 financial report that since the second half of 2018, due to the failure to make a correct judgment on the external industry environment, as well as improper internal strategies, rapid expansion and imbalanced cost structure, superimposed 2020 The impact of the new crown pneumonia epidemic in 2018 has caused the company to face a heavier debt burden.

  Due to the overdue payment of a large amount of debt, La Chapelle faced a large number of lawsuits, the main bank accounts and the equity of the subsidiary were frozen, the real estate was seized, and it was also listed as a dishonest person to be executed.

  The 2021 financial report shows that during the reporting period, La Chapelle lost about 290 million yuan due to debt interest, overdue penalty interest, and litigation costs.

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