WILLEMSTAD, Curacao, Jan. 20, 2016 /PRNewswire/ --
Retail Holdings N.V. (Symbol: RHDGF)
Retail Holdings N.V. ("Retail Holdings", together with subsidiaries and affiliates, the "Company") announced today that the Company has sold its entire 70.28% equity stake in the Company's subsidiary, Singer Pakistan Limited. The sale, which took place through the Karachi Stock Exchange, was to 10 independent, local investors. Singer Pakistan will continue to have a license from the Company to use the Singer brand.
Singer Pakistan had revenue of approximately $17.9 million in 2014, and a net loss of approximately $1.4 million; revenue and loss for 2015 are projected to be on par with the 2014 results. The sale, for a cash consideration of $2.5 million, was at a discount to Singer Pakistan's net asset value. The loss from the sale is projected to be approximately $4.1 million, most of which relates to non-cash items, including recognizing in income past foreign currency translation differences.
Commenting on the sale, Stephen H. Goodman, the Company's Chairman and CEO, noted, "The successful sale of the Company's equity stake in Singer Pakistan will eliminate an ongoing loss from the Company's operations there and the considerable management distraction, reflecting that country's economic, political and security conditions. I believe that Singer Pakistan, with Pakistan ownership and management, will be able to grow and be more successful. The Company, in turn, will be able to concentrate management and financial resources on the much larger and more successful continuing operations in Sri Lanka, Bangladesh and India, to the ultimate benefit of these operations and the Company's stakeholders."
Additional financial and other information about the Company may be found at the Corporate/Investor section of the Company's website: www.retailholdings.com. Price quotations for the Company's Shares are available on the "Pink Sheets" quotation service under the symbol "RHDGF".
For further information, please contact Amy Pappas at (914) 241-3404.
SOURCE Retail Holdings N.V.