KUALA LUMPUR (Feb 17): Texchem Resources Bhd has dissolved its Sushi King operations in Vietnam.

In a bourse filing, Texchem said it does not intend to reactivate its 70.53%-owned subsidiary, Sushi King Co Ltd (SKCL), which operated the Sushi King outlets in Vietnam.

Texchem said SCKL terminated its operations on April 30, 2020. It added that it had invested RM7.38 million in SKCL as of Dec 31, 2021.

“SKCL had been operating in a loss position since its incorporation. With the Covid19 pandemic, coupled with the uncertainty in the market in Vietnam, the management of SKCL does not intend to reactivate SKCL’s business in the future,” said Texchem.

The group added that the dissolution of SKCL will enable it to save future costs associated with maintaining a dormant company.

 “The dissolution is not expected to have any material effect on the consolidated net assets per share, gearing, earnings and earnings per share of Texchem for the financial year ending Dec 31, 2022, as well as the business operations of Texchem,” the group added.

Texchem has four business divisions, namely restaurant, industrial, food and polymer engineering, with operations that span across the ASEAN region and Japan.

Texchem shares closed one sen or 0.71% higher at RM1.41 on Thursday (Feb 17), giving the group a market capitalisation of RM174.98 million.