White Wood House: Taiwan's iconic cake chain closed 22 stores after decade of losses

白木屋 (White Wood House) was founded in 1997 and grew into one of Taiwan's most recognisable cake and pastry brands, operating 22 stores across the island and a flagship brand discovery museum in Taoyuan. The company was known for its premium cakes, pastries, and its vertically integrated factory — a tourist attraction where visitors could watch cake decoration and participate in DIY baking classes.

In 2010, GenMont Biotech (景岳生技), a publicly traded biotechnology company focused on health foods and probiotics, acquired White Wood House for NT$1.1 billion, betting that the bakery brand could diversify its revenue. The acquisition was a poor fit from the start. White Wood House faced mounting competition from internet celebrity bakeries, artisan craft bakeries, and shifting consumer tastes. Over the next decade, the bakery accumulated NT$467 million in losses.

On January 15, 2018, GenMont sold the White Wood House factory in Taoyuan to Carrefour Taiwan for NT$478 million to raise cash. Four months later, on May 18, 2018, GenMont announced the immediate closure of all White Wood House operations. Approximately 100 employees were laid off with severance paid under Taiwan's Labor Standards Act. The brand discovery museum was shuttered the same week.

GenMont stated that the closure would allow the company to refocus on its core health foods and biotechnology business. The acquisition and subsequent failure of White Wood House became a textbook case in Taiwan of the risks of non-core diversification by a publicly traded company.