Onaclover Technology JSC, which runs fitness and beauty platform WeWow, has filed for bankruptcy at the People’s Court in Hanoi, the company said Sunday citing a prolonged capital shortage.

In a statement emailed to its customers, Onaclover said all of their products would cease operation from 8:00 am Monday.

The company offered their apologies to active members, partners and investors for the closing.

Onaclover said the firm had been facing issues from the beginning of 2020, but the novel coronavirus disease (COVID-19) pandemic has made their situation worse.

WeWow “must stop all of our products” including fitness service WeFit and beauty service WeJoy from 8:00 am on May 11, 2020, the emailed announcement reads.

The company said it had filed for bankruptcy at the People’s Court in Hanoi.

Onaclover said it is in negotiations with third-party service providers to find solutions to help existing customers continue doing exercises and getting beauty treatment.

The same announcement is shown on the homepage of the company’s website at www.wewow.vn.

Onaclover’s incumbent CEO is Nguyen Hai Dang.

People practice yoga at a yoga center in Hanoi affiliated with WeFit. Photo: Tuoi Tre

WeWow is a popular mobile app connecting customers with their partners in the fitness and beauty industries. 

The platform has built up an enormous customer base over the last four years, partnering with a network of 800 fitness centers and 500 spas in Hanoi and Ho Chi Minh City.

Onaclover’s customers subscribe to its membership programs to enjoy services at the partnered venues.

The company would split its revenue with the service providers regularly under their agreement.

Onaclover officially launched the WeWow platform in July 2019. WeFit, a key part of WeWow, had been in operation since September 2016.

In January last year, WeFit announced they had successfully raised US$1 million of funding in a pre-series A round from CyberAgent Capital, an Asia Pacific-based venture capital firm, and other angel investors.

In July 2019, Onaclover increased its registered capital to VND27.7 billion (US$1.19 million) from VND1.66 billion (US$71,250) after raising over VND26 billion from Singapore’s WeLife Holding PTE. LTD.

The same year, Onaclover launched WeJoy and rebranded itself as WeWow.

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