KUALA LUMPUR (April 5): SYF Resources Bhd said its wholly-owned subsidiary Tomisho Sdn Bhd will cease its business operations in the manufacturing and export of bedroom furniture.  

SYF said Tomisho, which had been engaged in that business for more than 15 years, is not a major subsidiary of SYF. 

"As part of the group’s rationalisation and downsizing of its manufacturing segment, Tomisho is currently in the process of disposing of its operating assets and will cease operation in due course," the group said in a filing with Bursa Malaysia. 

"Based on the latest available audited financial statements for the financial year ended 31 July 2018, Tomisho incurred a loss of RM3.986 million. The proposed cessation is expected to reduce losses of the group," it added.

SYF said its board of directors is of the opinion that it is in the best interest of shareholders of SYF for Tomisho to cease its manufacturing and export operations. 

Shares of SYF closed down 0.5 sen or 2.17% today to 22.5 sen, for a market capitalisation of RM136.13 million.