Globalegrow
The business, the turning points, and the decisions behind them.
01 / WHAT IT BUILT
What the company did
Globalegrow was a Shenzhen-based cross-border e-commerce company founded in May 2007, operating export B2C platforms selling Chinese-made goods to overseas consumers, including the fast-fashion site Zaful. It was acquired by the listed company KJT (Cross-border e-commerce) in 2014 and became its main operating entity. In 2020 the company reported revenue of RMB 5.63 billion (about $816 million) but a net loss of RMB 2.95 billion (about $428 million) and negative net assets of RMB 1.75 billion, after which creditors pushed it into bankruptcy proceedings.
02 / Globalegrow FAILURE REASONS
Failure reasons
Globalegrow collapsed under a debt-fueled expansion model built up after its 2014 acquisition by KJT, which financed growth with heavy borrowing and left a high-debt, high-goodwill balance sheet. By the end of 2020 the Shenzhen subsidiary had net assets of negative RMB 1.75 billion after a RMB 2.95 billion net loss and could no longer service its debts. In June 2021 ICBC's Shenzhen Nanshan branch applied to the Shenzhen Intermediate People's Court for bankruptcy liquidation, and the company went bankrupt in 2023, leaving KJT with joint guarantee liabilities.
03 / EVENT HISTORY
Events in the structured record
- Liquidation
creditors petitioned Taiyuan Intermediate People's Court because Globalegrow (Shenzhen Globalegrow E-commerce / 环球易购) could not pay due debts and clearly lacked repayment capacity; court accepted the case in Nov 2021.
- Bankruptcy
in July 2023 Taiyuan Intermediate Court formally ruled Globalegrow bankrupt.
- Bankruptcy
Jan 2026 second distribution of RMB 9M to employee claims (cumulative RMB 19M; ~43.12% of employee claims); RMB 783M ordinary claims among RMB 815M total still unpaid.
04 / CONTEMPORARY REBUILD ASSESSMENT
Difficulty of rebuilding this project today
Material for this section is being gathered and checked. It will appear here once ready.
Overall assessment: Not completed
05 / CAUSAL CHAIN
How the factors connect
- 01
KJT acquired Globalegrow in 2014, financing expansion with heavy borrowing and leaving a high-debt, high-goodwill balance sheet.
- 02
In 2020 Shenzhen Globalegrow reported audited revenue of RMB 5.63 billion (about $816 million), a net loss of RMB 2.95 billion (about $428 million) and net assets of negative RMB 1.75 billion.
- 03
On June 18, 2021, ICBC Shenzhen Nanshan branch applied to the Shenzhen Intermediate People's Court for bankruptcy liquidation of Shenzhen Globalegrow, saying it could not repay due debts.
- 04
Globalegrow went bankrupt in 2023, and KJT bore joint guarantee liabilities for its debts.