Texchem Resources plans to float restaurant entity in six years

KUALA LUMPUR: Texchem Resources Bhd plans to float its restaurant entity, Texchem Restaurant Systems Sdn Bhd, in the next five to six years, said executive chairman, Tan Sri Fumihiko Konishi.

Konishi said the group would integrate its brands, starting with its Japanese restaurant, Sushi King, into the newly- established Texchem Restaurant Systems, within nine months to a year.

“We will pump more capital into the company.

“We want to put RM25 million on top what we have injected into the company.

“The fund will be used to set up joint-ventures moving forward,”hetoldamediabriefing on the group’s expansion plans here yesterday.

Texchem Resources owns Sushi King; Miraku (fine dining Japanese restaurant); Goku Raku Ramen (ramen concept restaurant chain); Yoshinoya (modern Japanese comfort food restaurant); and, Tim Ho Wan (dim sum restaurant).

Konishi said the restaurant division was the most profitable among its four business pillars, contributing 20 per cent to the group’s revenue as at Dec 31, 2014, with 90 per cent from Sushi King.

Texchem Resources is also involved in industrial, polymer engineering and food businesses.

He said the group planned to have an additional 14 Sushi King outlets nationwide by year- end, on top of 89 it has as at end-2014.

Texchem Resources planned to open a Tim Ho Wan outlet in 1 Utama Shopping Centre, in Damansara next month and introduce Japan’s first selfservice coffee shop, Doutor Coffee, in Malaysia this year, he said.

With the expansion of the outlets, the group expected the restaurant division to be the main driver of its earnings moving forward, said Konichi.

“The restaurant division is expected to grow and contribute between 20 per cent and 25 per cent to the group’s earnings,” he said.

Konishi, however, did not expect consumer sentiment to be dented with the start of the Goods and Services Tax from Apr 1.

“In the immediate timeframe, there would not be any repercussion at all.

“No changes in the pricing (of our products),” Konichi said.

He said the group also planned to tighten its grip on the ASEAN region by expanding its restaurant business to Indonesia and Vietnam this year.

Konishi said thegroup wasstill waiting for halal certification from the Indonesian authorities before it embarked on the expansion.

“The group also plans to open more Sushi King and Yushinoya outlets in Vietnam,” he said.

He, however, did not elaborate on the company’s plans in Vietnam.

Currently, the group owns two Sushi Kings outlets, a Goku Roku Ramen outlet and a Yoshinoya outlet in Vietnam. — Bernama