QAF to cease bakery operations in China, changes group financial controller

FOLLOWING its strategic review, breadmaker QAF Limited on Thursday updated that it has decided to cease its bakery operations in China which continue to be loss-making.

The Chinese bakery operations are undertaken through a 55 per cent held subsidiary of the group, with the remaining 45 per cent held by a company in which controlling shareholder Lin Kejian has an interest.

"The proposed cessation is not expected to have any material impact on the net tangible assets per share and earnings per share of the group for the current financial year ending Dec 31, 2017," it said.

"The board is evaluating other options on the group's future direction in the PRC including focusing on trading in food-related products."

Separately, QAF also announced that its group financial controller, Derrick Lum, will resign with effect from Dec 29, 2017 "to attend to personal commitments".

Goh Kiat Chiang will replace him in overseeing the company's financial and accounting matters, including compliance with financial reporting. Prior to this, Mr Goh was the financial controller at M&L Hospitality.