Berjaya Food Exits Paris Baguette Malaysia, Sells Entire Stake For RM1
Berjaya Food Exits Paris Baguette Malaysia
Paris Baguette Malaysia will no longer be part of Berjaya Food Bhd after the company sold its entire 50% stake in Berjaya Paris Baguette Sdn Bhd (BPB) for a nominal RM1. According to a Bursa Malaysia filing, the disposal was completed on 30 June, with Paris Baguette Singapore Pte Ltd taking full ownership of the joint venture that has operated the bakery chain in Malaysia since January 2023.
Business Recorded Continuous Losses
Berjaya Food said the decision was part of its plan to exit the Paris Baguette business after it continued recording losses since entering the Malaysian market. As part of the transaction, the company also settled BPB’s outstanding liabilities amounting to RM3.91 million, including hire purchase obligations and other financial commitments.
As of 31 December 2025, BPB had accumulated unaudited losses after tax of RM67.09 million and recorded net liabilities of RM33.41 million. Berjaya Food explained that the RM1 sale price reflected the company’s financial position after taking into account its liabilities and the costs required to settle its outstanding obligations.
Focus Shifts Back To Core Businesses
Since establishing the joint venture in 2022, Berjaya Food had invested RM20 million into the business, an investment that has now been fully impaired. Following the disposal, BPB will no longer be accounted for as a joint venture, allowing Berjaya Food to eliminate further exposure to the bakery chain’s losses.
The company said the move will enable management to redirect financial resources and focus on strengthening its core businesses while pursuing new growth opportunities. Berjaya Food also noted that the disposal is not expected to have a material impact on its earnings, net assets or gearing for the financial year ending 30 June 2026.
_________________________________________________________________________
DISCLAIMER: NasiLemakDaily is not responsible for any comments written by readers. Please think carefully before posting. We are also unable to monitor every comment posted. All comments are your own responsibility.
Source : The Edge Malaysia.
Watch Video :
