Indonesia-based co-working start-up CoHive declared bankrupt

Indonesia-based co-working start-up, CoHive, has officially been declared bankrupt as of January 18 by the Central Jakarta district court, according to a report by Deal Street Asia.

The Court has also appointed a team to manage the company’s assets which will be confiscated and auctioned off to pay its debts.

The start-up, which is operated under the legal entity Evi Asia Tenggara, began its downfall in September 2022 when its debt payment obligations were temporarily suspended by a court in Jakarta to give the firm time to make arrangements with creditors.

It stated that if the company does not make arrangements with creditors, it will be given a suspension of 45 days temporarily and 270 days permanently. This would lead to bankruptcy.

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The company then announced that it would shut down most or all of its locations in October 2022. While the reasons behind the closure at that point in time were unclear, sources familiar with the matter cited internal problems and ineffective pricing strategies, according to Deal Street Asia.

CoHive’s CEO Chris Angkasa then left the firm in September last year after taking the help in December 2020.

Checks by MARKETING-INTERACTIVE revealed that CoHive has since deactivated its website while its social media accounts stopped being active last August.   

However, media reports state that before the website became inaccessible, it was updated with a parting message.

“The prolonged pandemic, the office supply situation and the challenging fundraising environment have cut short our stay. Despite our best efforts to find a solution, we are unable to stay longer,” it said in the message.

Before being declared bankrupt, CoHive managed six co-working spaces in Jakarta and Medan as of January this year. It used to operate in 30 locations across Jakarta, Medan, Yogyakarta, and Surabaya in 2020.

MARKETING-INTERACTIVE has reached out to CoHive for a statement.

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