By LI Biao
Founder and CEO of Qudian LUO Min told a press conference on Monday that the company plans to open 10,000 ready-to-cook meal shops in China before the end of this year.
Founded as an online micro-lending company, Qudian has been struggling. In 2017, the company was listed on the NASDAQ and its valuation soon reached US$10 billion (67.5 billion yuan). But when financial regulators circulated new rules targeting online micro-lenders, its share price went on a free fall from as high as US$37.2 to below a dollar. In February and May, the company received delisting warnings from the exchange.
The food business, launched nine months ago, is Qudian’s latest attempt to get itself out of the mire. Following Luo’s statement, the company’s shares surged 40 percent to close at US$1.67. Qudian has so far burnt more than 100 million yuan in the food business.
On Sunday, Luo live streamed for 15 hours on short video platform Douyin, peddling his pre-made meals. Nearly 100 million people watched the session and placed 9.56 million orders. Luo plans to support 100,000 entrepreneurs who want to open a Qudian food shop with interest-free loans.
Qudian has established 15 factories in 15 cities. DU Changxu, head of food R&D said a team of 1,000 people focuses on expanding the business. More staff are wanted.
