Duty Free International Shuts Major Johor Bahru Outlet After Licence Refusal

Duty Free International Limited ( (SG:5SO) ) has issued an update.

Duty Free International’s subsidiary Selasih Ekslusif Sdn Bhd has terminated its tenancy and ceased duty-free retail operations at the Berjaya Waterfront Johor Bahru complex after the local council, Majlis Bandaraya Johor Bahru, refused to renew its business licences despite repeated applications. Without valid licences, Selasih determined it could no longer lawfully operate its core duty-free business at the site and, after legal consultation, exercised its contractual right to end the tenancy with landlord Berjaya Waterfront Sdn Bhd effective 19 February 2026.

The closure is operationally significant, as Selasih contributed about 38.6% of group revenue and 4.6% of profit after tax in the financial year ended 28 February 2025, highlighting a substantial shift in the company’s revenue base. The group expects a one-off exceptional net gain after tax of roughly RM17 million, mainly from derecognising the lease and accounting for asset write-offs, inventory write-downs and staff retrenchment costs, while negotiations with the landlord have so far failed and Berjaya has yet to respond to the termination notice, leaving some uncertainty for stakeholders over any further financial or legal repercussions.

More about Duty Free International Limited

Duty Free International Limited is a Singapore-incorporated company operating in the duty-free retail industry, primarily through subsidiaries that sell duty-free items at integrated commercial complexes. The group focuses on duty-free sales in Malaysia, where outlets like the Berjaya Waterfront Johor Bahru complex have contributed significantly to its consolidated revenue and profits.

Average Trading Volume: 98,269

Technical Sentiment Signal: Sell

Current Market Cap: S$93.46M

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