Twelve Cupcakes owes over $1m to creditors; workers may get Oct salary in Q1 2026
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Twelve Cupcakes, which suddenly ceased operations on Oct 29, has entered full liquidation as of Nov 24.
PHOTO: ST FILE
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SINGAPORE – Close to 100 creditors are owed slightly over $1 million by confectionery chain Twelve Cupcakes, according to one of its appointed liquidators from AAG Corporate Advisory on Nov 25.
This excludes the unpaid salaries owed to 80 former employees
The company has entered full liquidation as of Nov 24, the liquidator confirmed with The Straits Times over a call. While a committee of inspection, which acts as a representative body for consultations with the liquidators, was not appointed on Nov 24, volunteers are expected to come forward.
In a presentation seen by ST, the highest amount is owed to Tee Yih Jia Food Manufacturing at about $196,000, while others included baking supplies provider Phoon Huat, market expansion services firm DKSH Singapore and packaging company Skypac Packaging.
ST has contacted Tee Yih Jia Food Manufacturing and Phoon Huat.
The corporate advisory firm held a virtual meeting on Nov 24 with creditors, discussing unpaid salaries and the company’s financial situation.
This included the statement of affairs and the total amount of claims by creditors.
Subject to recovery from the assets, the liquidators are hoping to distribute the October salaries of 80 affected employees some time in the first quarter of 2026. No specific date or deadline was given.
The liquidator noted that recovering the funds involves advertising and calling for claims, which has a two-month period.
ST understands there were more than 70 attendees on the virtual call, and some former employees took the call from the Food, Drinks and Allied Workers Union (FDAWU) office in River Valley.
A former counter staff, who did not want to be named, said he has plans to return to his home country next week even though he is in the midst of interviewing for a new job.
“If I stay longer, I need to pay for my rent. This means I will owe my landlord two months of rental costs. It’s a difficult time for us.”
The former employee, who is owed about $4,000 for his October salary, said this does not include about 20 days of his remaining annual leave and overtime pay.
FDAWU general secretary Sankaradass S. Chami said the union supported the affected members by providing access to the meeting and ensuring their interests are represented.
“For members unable to join the online session on their own, the union will be hosting them at its office, and will also represent those who have formally authorised the union to act on their behalf,” he said, adding the union will continue to monitor the situation closely and provide assistance as needed.
