HappyFresh Seemingly Suspends Operations In Malaysia

happyfresh app suspend operations

The grocery delivery company HappyFresh has apparently temporarily suspended operations in Malaysia. First sighted by Rnggt, a new notice under the HappyFresh app’s promotions tab states that all stores on its platform will be temporarily closed until it can “resolve the issue”.

The firm did not explain exactly what “issue” it was facing, neither does it provide a timeframe of when its services might be available again, only saying that it is taking the company longer than expected to resolve it. When we tried to checkout an order through the app, no store had an available time slot for delivery and we were unable to make a purchase.

happyfresh app suspend operations

Meanwhile, the answers to queries from customers regarding the issue on its Facebook page further confirmed that the stores on HappyFresh are currently inaccessible. However, the answers were very vague and due to the lack of clarity, consumers can only speculate as to the reason behind the company’s pause in the Malaysian market.

One possible conclusion could be that it’s due to the Jakarta-based firm’s ongoing financial problems, as reported by Bloomberg. According to the report, the online grocer had recently hired turnaround firm Alvarez & Marsal to review its finances as it has been struggling to raise additional funds for its operations.

happyfresh app suspend operations

With at least US$97 million (~RM437 million) in debt financing, some of the startup’s senior executives have apparently even stopped handling their day-to-day duties. The company isn’t just halting its operations in Malaysia, but it also suspended deliveries in parts of Jakarta this week, signalling deeper issues.

Founded in 2014, HappyFresh currently operates in Indonesia, Malaysia, and Thailand. The startup used to also offer its delivery services in the Philippines and Taiwan before pulling out of those markets in 2016 as it aimed for sustainability. Last year, it launched its own dark store grocery distribution centre called HappyFresh Supermarket, promising cheap prices amid rising inflation.

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