In a shocking turn of events, the renowned chain congee shop, Sea King Congee Shop, has announced the closure of all its branches, marking the end of an era for a restaurant that has been a staple in Hong Kong's dining scene for over three decades. As of May 7, 2025, the company will terminate all employment contracts, leaving employees scrambling for their future.
Sea King International Limited, the parent company of the congee shop, revealed in a letter to its employees that the decision to cease operations was made due to a deteriorating business environment and worsening financial conditions. This announcement comes as the Hong Kong catering industry grapples with a significant downturn, with many chain restaurants facing similar fates.
Founded in 1992, Sea King Congee Shop was celebrated as the first chain congee restaurant in Hong Kong, boasting over 30 branches at its peak. However, the company has faced a series of challenges in recent years, leading to the closure of five branches within the last eight months. Currently, only seven branches remain operational across various districts in Hong Kong.
The official website of Sea King Congee Shop confirms that the company plans to liquidate its assets through a creditors' voluntary liquidation process. Employees have been informed that they can claim unpaid wages, severance pay, accumulated annual leave, and dismissal fees. They are encouraged to consult the Labour Department regarding their legal rights and entitlements.
The letter sent to employees expressed gratitude for their contributions over the years and extended best wishes for their futures. It stated, "We sincerely thank you for all your contributions to the company and wish you all the best in the future." This sentiment reflects the deep ties the restaurant has cultivated with its staff over the years.
In a bid to attract customers amid declining sales, the Wanchai branch launched a $10 all-you-can-eat promotion in October 2024, allowing diners to enjoy unlimited refills of plain congee and four types of fried snacks within a 45-minute window. This initiative temporarily boosted customer turnout, with long lines forming outside the restaurant as patrons rushed to take advantage of the deal. However, this effort proved insufficient to reverse the company's fortunes.
Prior to its closure, the Wanchai branch had reportedly fallen behind on rent payments, leading to legal action from the landlord seeking compensation for unpaid dues. This financial strain is indicative of the broader challenges facing the restaurant, which has seen a steady decline in patronage as consumer preferences shift and competition intensifies.
As the Sea King Congee Shop closes its doors, it joins the ranks of other local dining establishments that have succumbed to the pressures of a changing market. The recent closure of another local chain, Tsui Wah Restaurant, further highlights the struggles within the industry, as both brands exit the scene in the same month.
Industry experts have noted that the ongoing economic challenges, coupled with the impact of the COVID-19 pandemic, have created a perfect storm for the restaurant sector. With rising costs and shifting consumer behaviors, many establishments are finding it increasingly difficult to maintain profitability.
Sea King Congee Shop's closure is a poignant reminder of the fragility of the restaurant industry, where even well-established brands can fall victim to economic downturns. As the company embarks on its liquidation process, the future remains uncertain for its employees and loyal customers who have long cherished the establishment.
The restaurant's legacy as a pioneer in the congee market will undoubtedly be remembered by many, but its abrupt exit raises questions about the sustainability of other local dining establishments in Hong Kong. With the catering industry facing unprecedented challenges, the hope is that remaining businesses can adapt and thrive in the new landscape.
As the dust settles on this closure, the community reflects on the vibrant history of Sea King Congee Shop and the role it played in shaping Hong Kong's culinary scene. Whether new ventures will rise to fill the void left by such closures remains to be seen, but the impact of these changes will be felt for years to come.
