by PEN Peng
Chicecream (Zhongxuegao), the upscale Chinese ice cream brand known for its high prices and viral controversies, is now under bankruptcy review following a new creditor application, according to corporate registry platform Tianyancha.
On July 16, Shanghai-based Zhenliao Trading Co. filed the request with the Shanghai No.3 Intermediate People's Court, which accepted the case for review. The court said it took over the case after a lower court found that Chicecream was unable to repay its debts as they came due, and that its assets were insufficient to cover total liabilities. Parties with objections have seven days from notification to respond with supporting evidence.
This marks another blow to Chicecream's financial stability. A growing list of affiliated companies has already entered insolvency proceedings. Zhongmao, another Chicecream unit, has been under bankruptcy review with over 25.7 million yuan in unpaid debts, representing 99.98 per cent of its obligations. A third entity, Panzhu Youxi, was also placed into bankruptcy review due to negative net assets.
Tianyancha records show Chicecream (Zhongxuegao Food Shanghai Co.) has been named in multiple enforcement cases, subject to spending restrictions and listed as a defaulter. The firm now reports only two employees under China's social insurance system.
Founded in 2018 with registered capital of 1.2 billion yuan (US5 million), Chicecream rose to fame with its tile-shaped popsicles and a luxury brand image. Prices routinely exceeded 10 yuan per bar, with limited editions reaching as high as 88 yuan. The brand's aggressive pricing earned it the nickname "ice cream assassin" on Chinese social media.
Early success translated into surging revenue, which topped 100 million yuan in its first year and surpassed 1 billion yuan by 2021. But in 2022, the company became embroiled in controversy after netizens posted videos of its ice cream failing to melt, raising concerns about food safety. Sales and reputation declined sharply in the aftermath, followed by reports of delayed wages and staff turnover.
In May 2024, founder LIN Sheng appeared in a livestream selling sweet potatoes to raise funds, admitting to serious cash flow issues and unpaid compensation for employees.
Cover News reported that the company's factory equipment—including vacuum mixers and ice cream conveyors—was auctioned in 2024, but the first round failed due to lack of bidders. A second attempt in December started at a reduced price of 4.45 million yuan.
Jiemian News found that Chicecream's Tmall flagship store is now offering only three flavors—velvet cocoa, light milk, and half-choco. A 10-pack of the velvet cocoa flavor sells for 144.8 yuan, or 14.48 yuan per bar.
