Voir to remain a public-listed company, says chairman

KUALA LUMPUR: Voir Holdings Bhd, which saw a net loss of RM385,000 in the first quarter ended March 31, 2017, is looking at scaling down its apparel business and the possibility of venturing into construction and logistics.
Chairman Datuk Zarul Ahmad Mohd Zulkifli said the group may be scaling down the apparel business but it should not be construed that it is going to terminate the business.
“There are areas in the apparel business that are still profitable and we still have the potential to grow. We will maintain those businesses that are viable and they will continue to be viable. But those (businesses) that we think we can get a good price for it, we might sell it to get the best out of it,” he told reporters after its AGM yesterday.
Voir is a fashion retailer with over 30 years presence in Malaysia. Under the group’s apparels and accessories portfolio, it carries house brands such as Voir, Applemints, Soda, South China Sea and G&H. It also holds an exclusive license to produce and distribute international sports brand Diadora from Italy.
In Q1, Voir saw a net loss of RM385,000 compared with a net profit of RM101,000 a year ago mainly attributed to loss suffered from its discontinued beauty and wellness segment and also a marginal loss incurred from its core apparels retail business.
As part of its rationalisation, Voir closed seven non-profitable outlets in 2015 and 2016. However, it also opened three to four new outlets at end-2016 and early 2017. It will be opening an outlet in Genting Premium Outlet next month.
Zarul said consumers are now buying essential items rather than discretionary products and it has to seriously look at what it can do to improve its business in light of the current situation... perhaps a price cut.
He said it has been a year since the group started work on its rationalisation. A paper on the possibility of venturing into construction and logistics will be presented to the board, Zarul said, and a decision is expected to be made this year.
One of the options is to see how his private businesses can fit into Voir to enhance the shareholders’ earnings and what part of these business activities could Voir share into.
“We’re looking at the possibility that Voir could venture into these two areas (construction and logistics) subject to relevant authorities and approvals. The paper is being prepared by management and the board will need to deliberate seriously. This will decide which direction we are heading in the future and how it’s going to impact Voir’s shareholders,” Zarul explained.
Zarul is Zenith Group of Companies chairman, Asia Freight Rail Sdn Bhd chairman, China Railway Construction Corporation (Malaysia) Bhd director and holds positions in other companies operating in diverse areas of business.
Last year, Vista Lestari Development Sdn Bhd, an investment holding company controlled by Zarul, bought a 50.71% stake and 33.5 million warrants in Voir for RM36.48 million. Zarul said he will not privatise the fashion retailer.
“After doing a GO (general offer) on Voir with blood, sweat and tears, I don’t think I’m going to take it private. It’ll continue to be a public listed company. I have great vision for Voir. I hope that whatever I envisage could be realised. I want to see Voir have a bigger market capitalisation,” said Zarul.
He added that Voir also intends to implement a dividend policy in the future.