Fitaihi announces its BOD’s resolution to close three retail showrooms of its subsidiary (Fitaihi Retail Company) in line with the strategic direction of the Group
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| Announcement Detail | The Board of Directors of Fitaihi Holding Group issued a resolution on August 16, 2020, to close three retail branches of its subsidiary, Fitaihi Retail Company, during the third quarter of the fiscal year 2020, as follows: 1- Fitaihi Center – Riyadh – Al-Sitteen Street (for selling gold, jewelry, accessories, antiques, and gifts) 2- Fitaihi Showroom – Riyadh – Olaya Street (for selling gold and jewelry) 3- Le Panache’ Showroom – Jeddah – Saud Al-Faisal Street (for selling chocolate and the wedding tables)The closure of these aforementioned branches comes in line with the strategic direction of Fitaihi Holding Group, that includes the following: 1- Restructuring the main sectors of the Group by focusing on the profitable sectors and exiting the unprofitable activities and retail branches. 2- Rationalizing expenditure, especially sales, marketing, general and administrative expenses.3- Diversifying investments and directing them in an optimal manner that achieves a better return for the investors. The sales of these three branches represent 23% of the total sales of Fitaihi Holding Group, according to the latest audited annual consolidated financial statements. The necessary measures will be taken to address the financial impact of that closure within the Company’s preliminary financial results for the third quarter of the year 2020. Worth mentioning that the three aforementioned branches will be closed during the third quarter of the fiscal year 2020. |
