From beauty darling to bankruptcy court: What happened to Blank Me?

What happened Blank Me’s parent company, Shanghai Yongxi Information Technology, has entered bankruptcy review proceedings after a creditor petition, marking a dramatic fall for one of China’s most celebrated beauty startups. But the company's troubles can be traced back to a much earlier red flag: the collapse of a proposed investment by L Catterton, the consumer-focused private equity firm backed by luxury giant LVMH. In December 2024, L Catterton publicly distanced itself from Blank Me after previously signing an investment agreement with Shanghai Yongxi. The firm disclosed that it had terminated the deal as early as February 2024 after due diligence uncovered financial irregularities and undisclosed legal disputes that failed to meet closing conditions. From investor red flag to financial crisis The failed investment proved to be a turning point. Over the following two years, Shanghai Yongxi became embroiled in mounting legal disputes involving contract manufacturers, marketing agencies and service providers. Since 2025 alone, the company has reportedly faced more than 90 lawsuits involving claims exceeding 30 million RMB ($4.43 million), while courts imposed multiple consumption restrictions on founder Yang Boya. The collapse is particularly striking given Blank Me’s meteoric rise. The brand became a breakout success through its “Little Black Box” and “Little Silver Box” foundation products, reaching the top ranks of Tmall’s domestic base-makeup category. During the 2021 Double 11 presale period, Blank Me briefly ranked ahead of global brands including YSL and L’Oréal and later surpassed 100 million RMB ($14.7 million) in annual Double 11 sales. The Jing Take Blank Me’s downfall highlights a broader shift in China’s beauty industry from a traffic-driven growth model to one increasingly defined by capital discipline and operational resilience. The data suggest that Blank Me’s problems were not simply the result of weaker consumer demand. The company’s decline accelerated after losing access to external capital and influencer-driven growth engines. According to industry reports, Blank Me disappeared from major Tmall and Douyin beauty rankings by 2024-2025, while its Douyin monthly sales had fallen to roughly 500,000-1 million RMB ($74,000-$147,700), a fraction of the scale that once made it a category leader. China beauty's survival rules are changing At the same time, China’s beauty market is consolidating. Major domestic players are acquiring smaller brands and concentrating control over distribution, supply chains and marketing resources. Recent transactions involving brands such as Proya, Flower Knows and other domestic beauty labels demonstrate how capital is flowing toward established operators rather than venture-backed challengers. Perhaps the most telling signal is that Blank Me’s decline became visible first to investors, not consumers. L Catterton’s withdrawal occurred nearly two years before the bankruptcy filing. In hindsight, the failed due diligence process was less an isolated investment decision than an early warning about the governance and financial risks facing a generation of Chinese consumer brands built on rapid traffic acquisition, livestream commerce and continuous fundraising. The bankruptcy filing closes the chapter on Blank Me. The larger story is that China’s beauty industry is entering a phase where profitability, cash flow and governance matter more than viral growth. The Jing Take reports on a piece of the leading news and presents our editorial team’s analysis of the key implications for the luxury industry. In the recurring column, we analyze everything from product drops and mergers to heated debate sprouting on Chinese social media.

Then beauty darling, now bankruptcy court: What happened to Blank Me?

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Then beauty darling, now bankruptcy court: What happened to Blank Me?

How Bottega Veneta weaved China’s forever it bag