Bid costs fuel losses at Nam Pei Hong

CHINESE medicine retailer Nam Pei Hong (Holdings) says exceptional expenses because of the failed takeover bid by Victoria Montreux added to its net loss of $3.2 million for the six months to September 30.

Profit for the previous corresponding period was $27,000.

Earnings per share of 0.02 cent plunged to losses of 2.63 cents, and no interim dividend was declared.

Although turnover increased 16.4 per cent to $79.68 million from last year's $68.42 million, Nam Pei Hong said the cost of financial advisers for shareholders and warrant-holders during the takeover bid was up to $1.4 million.

The company also incurred a loss of $161,000 on disposal of fixed assets on closure of its retail outlets.

At the end of September the company operated 24 retail outlets, including one at Sha Tau Kok near the border and another in Macau. Four are owned by the company.