Caixin Global – Latest China News & Headlines

Home >


CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

Will Faraday and Geely Team Up in a Possible Replication of Baidu and Foxconn Manufacturing Partnerships?
Chinese Edtech Startup Huohua Siwei Secures $400 Million in Series E Funding Round
Trending in China: Man Fired for Skipping Work to Mourn Father Gets Billion Views
Impressive New York Trading Debut for Chinese E-Cigarette Maker RLX But Challenges Lie Ahead
Self-Driving Tech Startup Uisee Closes $155 Million Funding Round
Trending in China: Gold Mining Rescue Lights Up Weibo
China Evergrande’s NEV Unit Brings Six Investors On Board to Raise $3.4 Billion
Taiwan’s MediaTek Surpasses Qualcomm as China’s Smartphone Chip Supplier of Choice as U.S. Sanctions Bite
Tencent-Backed Esports Startup VSPN Closes $60 Million Funding
Trending in China: Foreign Medical Students Volunteer for Battle Against Virus in Freezing Northeast
Chinese Telcos Look for More Sympathy Under Biden Administration
Gojek, Tokopedia Explore Holding Company Structure as Merger Talks Move Forward
Carmaker BYD to Raise $3.9 Billion Through New Share Sale
Trending in China: Beijing Skating Now On Ice As Covid Restrictions Imposed
Alibaba’s Jack Ma Reemerges After Long Absence
Chinese Mainland Speeds Up Chip Equipment Buying from ASML
Chinese Edtech Startup Erwan Nets Nearly $100 Million in Series D, E Funding Rounds
Matrix Partners China Raises $1.2 Billion for Flagship Venture Fund
Tesla Denies Final Model Y Pricing Represents Big Cut
Cold-Chain Logistics Startup Xianshenghuo Bags $93 Million in New Funding
Debt-Ridden Smartphone-Maker’s Eccentric CEO Placed on ‘Restricted Consumption List’

By Zhao Runhua / Nov 04, 2019 02:37 PM / Business & Tech

Photo: VCG

Photo: VCG

Debt-ridden Chinese smartphone-maker Smartisan Technology is betting on a deal with Bytedance to dig it out of trouble. But its founder and CEO Luo Yonghao is already feeling the pinch.

The eccentric entrepreneur has been placed on a so-called restricted consumption list after a Smartisan subsidiary he controls failed to complete a payment of an undisclosed sum to an electronics company, according to a court filing in the eastern city of Danyang.

The move essentially bars Luo from costly consumptive behaviors, such as booking flight tickets and staying in luxury hotels.

Luo’s newfound parsimony comes after Smartisan announced a tie-up with internet giant ByteDance in July. The two companies plan to develop a phone together.

But the deal has done little to improve the operational crisis at Smartisan. Since the second half of 2018, the company has been paying back around 600 million yuan ($85 million) in debt owed to banks, vendors and partners. Luo claims the company has so far repaid roughly 300 million yuan.

Luo, a business icon known in China for his humble origins and eye-catching marketing stunts, wrote Sunday on microblogging site Weibo that he would help Smartisan clear its debts and would not file for bankruptcy, even if saving the company means “performing to earn” — seemingly a reference to the off-the-wall speeches for which he previously gained notoriety.

Related: ByteDance Ties Up With Smartisan, Says It’s Making a Phone

Share this article
Open WeChat and scan the QR code