Local cosmetic chain Sa Sa International (0178) announced plans to close all 22 retail stores in Singapore as it faces continued losses and an "extremely difficult" operating environment in its core market of Hong Kong.
Sa Sa said it will concentrate its resources on the markets in Hong Kong and Macau, mainland China and Malaysia, as well as its e-commerce business.
The company has recorded losses for six consecutive years in the Singapore market, with revenue falling 4.6 percent year-on-year to HK$99.4 million during a six-month period ending on September 30. About 170 employees will be made redundant as a result of the Singapore store closures and will be fully compensated in accordance with local employment laws.
Shares of Sa Sa yesterday fell 2.27 percent to HK$1.72.