Updates: The article has been updated to include information about Joel Sng’s replacement.
[Updates made at 17:00 on May,2] On Thursday afternoon, Straits Times reported that Brian Koo, the grandson of South Korean tech giant LG founder, has been appointed as interim CEO and board chairman.
The report was based on an internal email that Sng has sent earlier, announcing and confirming his resignation. However, he did not give an exact timeline of his resignation.
In the email, Sng also named Roger Koh as the company’s CFO, Victor Chow as COO, Jonathan Low as CTO, and Varian Lim as chief of staff.
Honestbee, the grocery-delivery startup that is navigating choppy waters, has fired CEO Joel Sng, as reported by TechCrunch.
The exit of Sng means the only remaining Co-founder is Jonathan Low, who is in the engineering department. It is not immediately clear who will take over from Sng.
The Co-founder was let go amidst a full-blown crisis whereby they company shut down their operations in the Philippines, Indonesia and Hong Kong operations. They have also suspended food-delivery in Thailand.
The company plans to lay off about 10 per cent of its staff and was reportedly being pursued for a purchase by Grab. Honestbee had held acquisition talks with Grab, Go-Jek, and others in recent weeks.
Honestbee has had no issues raising money, having nabbed US$46 million over the past three years. But, TechCrunch reported a burn rate of US$6.5 million per month that appears to have come to a head this week.
The startup seems to be trying to raise enough money to get it through the year.
The future of Honestbee seems to be an offline supermarket, a futuristic store that integrates technology into an offline grocery experience.
TechCrunch previously reported that Honestbee was struggling to pay suppliers and was experiencing payroll delays. The article also stated that executives within the company were leaving.
Honestbee released a generic statement about their current struggles but has mostly refused to comment to media questions about the company’s future.
Anisa Menur Maulani also contributed to this report.