No Signboard receives letter of demand from Orchard Gateway landlord

NO Signboard Holdings has received a letter of demand from its landlord at the Orchard Gateway shopping mall for an outstanding payment of two months’ security deposit, the restaurant operator disclosed in a Wednesday (Jun 14) bourse filing.

In the letter of demand, No Signboard was asked to pay the deposit of S$98,738.40 by Jun 16, to maintain a security deposit of S$147,735 and to reopen its Orchard Gateway outlet for business by the same date.

If it fails to reopen the outlet and keep it open for business, No Signboard will have to pay damages of S$200 per day, the letter said. Failing this, the landlord may exercise its right to re-enter the premises or commence legal proceedings.

No Signboard said that it is “seeking legal advice” on the matter. The development comes after the operator of hotpot chain Little Sheep terminated its franchise agreement with No Signboard, due to the failure to set up the required number of new restaurants under the agreement.

Shares of No Signboard have been suspended from trading since January 2022.