New York-based luxury confections retailer Lady M is set to close all of its stores in Mainland China by September 10 after five years of operating in the country, the company has announced on its social-media channels.
Since making its China debut at the IFC Mall in 2017, the chain opened more than 20 stores across the region through a license agreement with Shun Lee Shanghai Commercial Management Group, which expired in April and has not been renewed.
According to local media, the expansion pace of Lady M in China slowed significantly since the advent of Covid -19. The up-market confection chain closed three stores in Beijing last October.
However, Lady M said it plans to continue operating in the country through a direct company-owned strategy.
“Lady M is looking forward to taking a direct role in elevating the China business, a market that is pivotal to our growth strategy,” Ken Romaniszyn, CEO of Lady M.
“We are fully committed to strengthening our presence, and to continue serving our loyal customers by having the ability to maintain and operate our boutiques to our brand standards.”
According to Bloomberg, Lady M is seeking to raise US$20 million in new funding round, which will take its value to US$600 million and fund expansion in Asia. The source said the funds raised will help the chain acquire other bakery brands and open more stores in China.