Tomei Malaysia sells skincare, cosmetics distribution business
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Tomei Consolidated Bhd’s wholly owned subsidiary Flawless Skin Care Sdn Bhd (FSC) today sold its business of distributing the skincare and cosmetic products of “The history of Whoo” and “belif” as a going concern for RM8.97 million.
FSC, whose principal activity is retailing of skin care and cosmetic products, this week entered into an asset purchase agreement with LG Household & Health Care Malaysia Sdn Bhd for the exercise.
LG is a company incorporated in Malaysia with its principal activities in the area of skin care and cosmetic products.
FSC agrees to sell and LG, relying on the several representations, warranties and undertakings contained in the agreement, agreed to purchase free from all encumbrances the whole of the business as a going concern.
“The disposal would enable Tomei to utilise its resources and focus on the core businesses of the group in the gold and jewellery business,” it said.
Questions & Answers
Q.What is the primary reason Tomei is selling its distribution business?
What is the primary reason Tomei is selling its distribution business?
Tomei stated the disposal will allow them to reallocate resources and concentrate on their main business activities. This means focusing on their core gold and jewellery operations within the group moving forward.
Q.Which company is purchasing the skincare and cosmetics distribution business?
Which company is purchasing the skincare and cosmetics distribution business?
LG Household & Health Care Malaysia Sdn Bhd is acquiring the business. This company is incorporated in Malaysia and specialises in skin care and cosmetic products, aligning with the business being sold.
Q.What products are involved in the sale of the distribution business?
What products are involved in the sale of the distribution business?
The sale includes the distribution rights for two specific skincare and cosmetic brands. These brands are named as 'The history of Whoo' and 'belif', which FSC previously managed.
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