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ST Group Exits UK Gong Cha Operations Amid Liquidation

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ST Group Exits UK Gong Cha Operations Amid Liquidation

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ST Group Food Industries Holdings Limited ( (SG:DRX) ) has provided an announcement.

ST Group Food Industries Holdings Limited has announced the creditors’ voluntary liquidation of its indirect subsidiary, GCTea Outlets 2A Ltd, in the UK. This decision is part of the company’s strategic plan to exit the Gong Cha brand in the UK due to the subsidiary’s liabilities and the challenging economic conditions. The liquidation is expected to positively impact the group’s consolidated net tangible assets and earnings per share in the long term, despite initial losses, as GCTea Outlets 2A has been loss-making.

More about ST Group Food Industries Holdings Limited

ST Group Food Industries Holdings Limited operates in the food and beverage industry, focusing on managing and operating various food and beverage outlets. The company is involved in the distribution and retail of food and beverage products, with a market focus that includes international brands.

Average Trading Volume: 52,650

Technical Sentiment Signal: Buy

Current Market Cap: S$36.62M

For a thorough assessment of DRX stock, go to TipRanks’ Stock Analysis page.

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