<article><a href="https://www.dealstreetasia.com/?s=honestbee">Honestbee</a> on Tuesday confirmed that it is suspending its operations in Hong Kong, Indonesia, Japan and the Philippines. It is also laying off about 10 per cent of its global workforce.</article>

<a href="https://www.dealstreetasia.com/?s=honestbee">Honestbee</a> on Tuesday confirmed that it is suspending its operations in Hong Kong, Indonesia, Japan and the Philippines. It is also laying off about 10 per cent of its global workforce.
According to a statement, the Singapore-based grocery and food delivery startup will also be suspending its food vertical in Thailand, as well as specific partnerships in Southeast Asia. It added that the move is &#8220;necessary to align its regional business and better meet customer needs&#8221;.
Honestbee rejected reports of payroll delays, adding that it is committed to fulfilling its financial obligations to its employees, partners and vendors in a timely manner.
Last week, TechCrunch reported that the Singapore-based startup was running out of cash and actively seeking buyers for its business. It was also reported to be in early talks with ride-hailing giants Grab and GOJEK to acquire parts or all of its operations.
One person close to the development told DEALSTREETASIA that Grab was approached by the grocery delivery startup but declined to engage in further discussions. The ride-hailing giant already has a stake in Honestbee’s competitor HappyFresh.
Several senior executives are reported to have left Honestbee in recent months, including its co-founder Isaac Tay and Philippines head Crystal Gonzalez. TechinAsia had earlier reported that resignations in the company number 50-70 across markets like Indonesia, Hong Kong and Thailand.
Honestbee&#8217;s cash pile also appears to be running dry.
One former Honestbee executive told us that the cash-strapped startup had initially targeted to close a fresh round of funding in January from Japanese investors. The deal however, failed to conclude because investors were not convinced by Honestbee’s growth prospects and financial decisions. As a result, the startup is understood to be near the end of its operational runway.
Last year, Honestbee reportedly raised $49 million from Yesco, a subsidiary of LS Group, one of South Korea’s chaebols. Brian Koo, the founding member of Silicon Valley’s Formation 8, is also an investor.
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Honestbee is suspending its operations in Hong Kong, Indonesia, Japan and the Philippines. It will also be suspending its food vertical in Thailand, as well as specific partnerships in SEA.

Honestbee suspends operations in select SEA markets, confirms 10% layoffs

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Honestbee suspends operations in select SEA markets, confirms 10% layoffs

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