SINGAPORE - Healthway Medical Corporation is divesting its entire stake in the loss-making CLAAS Medical Centre in Singapore for $150,000.
Healthway's wholly owned subsidiary Unimedic has entered into a sale and purchase agreement on Sept 30 with Liew Kou Chuen to sell 499,993 shares in CLAAS, which represents Unimedic's entire 99.9 per cent stake. Dr Liew is one of the existing shareholders of CLAAS and holds the remaining 0.1 per cent. CLAAS owns 100 per cent of BCNG, which provides medical aesthetics and wellness treatments under the NeuGlow brand.
The loss on disposal is expected to amount to $68,000.
Healthway said: "As part of its business optimisation strategy, the management has committed to reviewing the performance of all business units to improve operational efficacy. In line with the group's intent and continual efforts to enhance operations, the group has decided to exit the wellness business through the proposed disposal."
The net asset value of CLAAS and BCNG as at June 30 was about $200,000.