Miniso Canada on brink of bankruptcy
Miniso Canada is on the brink of bankruptcy after an action brought against it by its Chinese parent company alleging fraudulent business dealings and the transfer and hiding of assets.
The extraordinary situation was revealed by Canadian website Retail Insider which in its last update reported the Canadian subsidiary had reached a preliminary agreement with the Chinese company to avoid the move.
Miniso China has declined comment.
According to Retail Insider, citing court documents, Miniso China is owed C$20 million (US$14.7 million) and had retained a lawyer to commence legal action in British Columbia courts to recover the amount.
Minso launched in Canada last year with plans for 500 stores within five years. To date it has opened 48.