Approximately 170 employees will be affected by the closure of 22 stores
Asian beauty retailer Sasa is closing its retail business in Singapore affecting approximately 170 employees.
The Hong Kong-based company Sa Sa International Holdings explained that the decision was made due to "less than satisfactory" performance in the country, where it has recorded losses for six consecutive years.
For the six months ended 30 September 2019, the group's Singapore business generated turnover of HK$99.4m, down 4.6% year-on-year.
Despite taking measures to improve performance, including restructuring the local management team and enhancing store display and the products on offer, the business could not be saved.
In total 22 stores will be closed, out of the group's network of 265 locations and the affected employees will be fully compensated, Sa Sa confirmed.
Going forwards the company plans to focus on its core markets and growth potential areas including Malaysia, mainland China and Macau SARS.
The environment of its core market in Hong Kong, however, has become "extremely difficult" the company noted, due to a drastic decline in Mainland tourist arrivals.