SINGAPORE – Already grappling with unresolved audit issues after much of its finance team left the company, taking with them years of historical financial knowledge, Mary Chia Holdings is now facing insolvency claims filed by a creditor amid mounting financial pressures.
The Catalist-listed beauty and wellness group said on May 5 that its creditor Fullink Capital had officially commenced insolvency-related court proceedings against Mary Chia, its wholly owned subsidiary Organica International Holdings, as well as chief executive Ho Yow Ping and chief financial officer Su Jun Ming.
Fullink notified Mary Chia of the insolvency proceedings on April 30, and formally delivered court documents to the company’s legal representatives on May 4.
The dispute is over a sum amounting to $902,640 that Fullink Capital says Organica International owes under past loan and repayment arrangements.
In SGX filings on April 12, Mary Chia disclosed that Fullink Capital had originally lent Organica International a sum of $350,000 and guaranteed by Mary Chia.
Following disputes relating to the loan repayments, Fullink Capital claimed the full outstanding amount had become immediately due, together with late payment interest and other fees under the loan and settlement agreements.
This sum amounts to $902,640.
Mary Chia said it proposed paying a revised sum of about $354,379 on March 20, based on its own calculation of the applicable interest, but Fullink Capital rejected the proposal on March 25.
Mary Chia added that it has since taken legal steps to seek a court declaration on whether certain parts of the claimed amount are enforceable.
Despite this, Fullink Capital subsequently started insolvency proceedings on April 29.
In response, Mary Chia said it plans to seek a temporary suspension of the insolvency proceedings until the court determines whether the disputed claims are valid.
A case management conference for both matters has been scheduled for May 6.
Mary Chia’s latest legal troubles come as the company grapples with unresolved audit issues in its financial statements as a result of high turnover within its finance department, including the abrupt departure of key finance personnel with historical financial knowledge in 2024.
It added that the replacement finance staff hired from July 2024 onwards required more time to respond to auditors because of insufficient transfer of knowledge and information from their predecessors.
This comes as Mary Chia continues to face mounting financial pressure due to a decrease in revenue from direct selling services, mounting operational costs – from rental to payroll – and rising competition from online channels.
Revenue for the first nine months ended Dec 31, 2025 fell to $11.1 million from $31 million a year earlier, while net profit shrank from $1.5 million to just $28,000.
Its cash and cash equivalents also fell sharply to just $116,000 from $1.39 million previously, while borrowings rose to $3.5 million.
The company said it has taken action by cutting staff, terminating leases and trimming underperforming outlets while pivoting towards e-commerce, direct selling and new skincare products.
Management has also expanded into Taiwan, Malaysia and China while pushing for franchise expansion plans across Southeast Asia and expanding its presence online.
Marcy Chia added that it expects to continue operating with the support of its controlling shareholder Suki Sushi, which is partially controlled by CEO Ho.
The company recently also completed a placement of 5.7 million new shares at 3.5 cents each to a private investor, raising around $200,000 to cover professional fees, manpower costs, and administrative expenses, such as the company’s office.
Once a familiar name in Singapore’s slimming and spa industry, Mary Chia’s business was hit hard when consumer demand shifted from salon treatments towards medical aesthetics, e-commerce beauty brands and celebrity-endorsed fitness trends and wellness products.
