Bolton Bhd is disposing of “The Body Shop� franchise in Peninsular Malaysia for RM80 million cash.
In an announcement on Nov 13, Bolton said its unit Kejora Harta is selling its 100% stake in Rampai Niaga Sdn Bhd — which holds the “The Body Shopâ€? franchise — to Rampai Niaga directors Datuk Foong Choong Heng and Datin Cheah Kim Choo.
Cheah was one of the founders of “The Body Shop� franchise business in 1984. The franchise rights expire on 2012.
Bolton said it had indirectly acquired Rampai Niaga upon the privatisation of Kejora on Sept 14, 2006 at an effective cost of acquisition of RM70.6 million, being the carrying value of Rampai Niaga in Kejora’s books at Aug 31, 2006 and also taking into account the dividend of RM14.5 million.
“Bolton will record a gain of RM9.4 million from the proposed disposal,� it said, adding that the disposal was in line with its strategy to sell non-core assets and refocus on property development.
Rampai Niaga holds the exclusive franchise rights for the distribution of “The Body Shop� products in Peninsular Malaysia and is solely involved in the operations and management of ‘The Body Shop’ franchise.
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