Gearbest is familiar to anyone who has ever bought goods from China. It was one of the most popular and at the same time the largest Chinese e-shops, so at least it was a few years ago. In the last three years, however, this trade has rather stagnated and is significantly ahead of Banggood, Geekbuying, DHGate or TradingShenzhen.
At the beginning of 2021, Gearbest, once the most reliable reseller, was also spread negative news about the bad approach of customer support and especially the non-payment of its affiliate partners. Everything was sealed by turning off the site.
Gearbest.com is now off
Following previous reports of major problems with Gearbest's parent company, Shenzhen Globalegrow E-Commerce Co., and their ongoing bankruptcy proceedings due to their inability to pay their debts, comes the complete shutdown of www.gearbest.com. You can't buy anything here from now and you won't see any product.
The Chinese giant tried to save by selling its other company Patoxun, which he sold in March to several companies, including Xiaomi, for 2,2 billion yuan. However, this was not enough for Globalegrow to avoid bankruptcy and save its Gearbest e-shop.
This company also owns other well - known fashion online stores such as Shein, Zaful and Rosegal, but they continue to work without problems.
Gearbest has been facing a really bad reputation lately, and their parent company has probably decided that it would be the best solution to close its long-running e-shop chapter.
Original article of 11 June 2021:
The company that owns Gearbest is facing bankruptcy
The platform is facing difficult times in the near future and its future is uncertain. Reports coming from China say its parent company, Shenzhen Globalegrow E-Commerce Co., is facing bankruptcy.
The case is already in court in Guandgong Province and is currently classified as a bankruptcy assessment. The applicant is Shenzhen Nanshan, a sub-brand of Chinese Industrial and Commercial Bank. Globalegrow, the owner of Gearbest, is mentioned as the defendant.
In 2018, Gearbest was the largest and most reliable Chinese e-shop. We also managed to visit them.
The company claims that it did not receive any legal documents from the court clerk in Shenzhen. She also added that she is actively communicating and negotiating with the bank's branch and at the same time working on obtaining new funds. He hopes that the dispute with the bank will be settled as soon as possible.
Already in March this year, the company sold its subsidiary Patoxun for 2,2 billion Chinese yuan with all its brands. It seems that this capital is still not enough. Brands such as Xiaomi, Shunwei, CDH, Quantum Yuedong, Xiyin International and others have become new investors for Patoxun.
Top representatives of the company have already resigned
Just a month after this sale, ZAFUL, another subsidiary of Globalegrow, also started operating independently. Xu Jiadong, the company's chairman and CEO, resigned in May. Allegedly for personal reasons.
Along with the CEO, two members of the Supervisory Board - Li Jie and Zhou Chunyan - also resigned. They were joined by the head of the department called "Internal Audio", Wanf Xiaoyu. The departures of these other important people reveal that there may not have been personal reasons for the resignation of the director at all, but rather the bad financial situation of the company.
We have no idea how the whole case will turn out. An e-shop like Gearbest would be a shame and therefore we hope that Globalegrow will find the necessary funding. Don't forget to keep watching us. As soon as we know more about the situation, we will publish the information on our website.