No Signboard Holdings says it will be closing its No Signboard Seafood Esplanade outlet at Esplanade Mall with effect from April 1.
According to a statement released by the company, it had “carefully considered the option” of keeping the outlet open till all Covid-19 restrictions were lifted.
“However, while Covid-19 dine-in restrictions have recently eased, it may take several more months before travel returns to pre-Covid-19 levels, which will continue to adversely affect the business of the No Signboard Seafood Esplanade outlet,” reads the statement.
The closure of the outlet at this time in order to reduce the company’s operating costs is said to be in the company’s “best interests” considering its current financial situation.
No Signboard will continue to operate its other outlets, namely Little Sheep Hotpot at Orchard Gateway and No Signboard Sheng Jian at Northpoint City.
According to the company, the closure of its Esplanade outlet will allow it to “focus its efforts and resources on operating the group’s casual and quick-serve restaurant outlets until further review of the evolving Covid-19 situation”.
See also: Sembcorp issues $350 mil of guaranteed notes due 2036 at 3.65%
The closure of the outlet is expected to contribute positively to No Signboard’s consolidated net tangible assets (NTA) and earnings per share (EPS) for the current FY ending Sept 30, as the Esplanade outlet was loss-making.
Shares in No Signboard Holdings last traded at 3.1 cents before its trading halt and subsequent trading suspension in January.
