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Judul : Business not good, two Tim Ho Wan restaurants close
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Business not good, two Tim Ho Wan restaurants close

The company operating the two restaurants, Dim Sum Delight, is ceasing business to minimise losses.

KUALA LUMPUR: Dim Sum Delight Sdn Bhd, the operator of two Michelin-star Tim Ho Wan restaurants in Malaysia, has ceased business operations.

The restaurants have not been doing well.

This was announced by Penang-based food and beverage firm Texchem Resources Bhd, which owns 51% in Dim Sum Delight, in a Bursa Malaysia filing yesterday.

The remaining 49% is reportedly owned by a Malaysian company owned by Angel Chong and Kelvin Khoo, according to a report by Edgemarkets.

There are two Tim Ho Wan restaurants in Malaysia: one in Mid Valley Megamall, and another at 1Utama Shopping Mall.

For the financial year ended Dec 31, 2016, Dim Sum Delight incurred a loss of RM895,642, and “is not expected to turn around in the near future”, Texchem said.

“Given that the current retail market remains soft and competitive, the board of Dim Sum Delight is of the view that the prospects of Dim Sum Delight is very challenging and this situation is not expected to change anytime soon.

“Accordingly, the shareholders of Dim Sum Delight are of the opinion that Dim Sum Delight should cease its business operation to minimise losses,” Texchem added.

Texchem also operates Sushi King and Goku Raku Ramen restaurants.

Separately, Texchem said its 94.8%-owned subsidiary Ocean Pioneer Food Sdn Bhd had signed two pacts — a sales and purchase agreement, and a machinery purchase agreement — with SHT Marine Frozen Sdn Bhd to sell a piece of leasehold land and related equipment in Setiawan, Perak, for RM2.65 million.

The Edgemarkets reported Texchem as saying the sale would unlock the value of the assets, and was part of its strategy to strengthen its financial position. -FMT

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