The decision came after its 18 years of operating in Vietnam with an initial eight shopping malls, later narrowed down to the single Parkson Saigontourist Plaza, its last remaining outlet in Vietnam, on Le Thanh Ton Street, District 1, HCMC.
According to the board of directors of Parkson Vietnam, the company’s business performance has got worse due to the sluggish market since the pandemic outbreak.
Additionally, the company received inadequate support from its landowner, who did not offer them a price cut on the lease during the shutdown induced by Covid lockdowns.
Parkson’s executive chairman William Cheng voiced concerns over its business prospects in Vietnam, stating that it no longer seemed financially viable.
Therefore, the decision to apply for bankruptcy is reasonable to maintain the group’s interests.
Currently, all business partners at the outlet will continue to operate as usual until the relevant Vietnamese authorities issue a final decision.
Source: Saigon Times