Sri Lanka’s Chemanex to shed staff, stop exports, paints business
Nov 01, 2017 12:23 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT – Chemanex said it intends to stop its exports and retail paints business to focus on chemical trading as part of a restructuring to improve profitability and would shed staff through a voluntary retirement scheme (VRS).
Chemanex said in a stock exchange its export business had been deemed to be non-viable and the board of directors had decided to wind up Cal Exports Lanka (Private) Ltd. and its fully owned subsidiary Chemanex Exports (Pvt) Ltd.
“The Board has also decided to cease operations in the retail paints business in a managed manner since it does not have the required scale to move forward as an independent business operation,” the statement said.
Chemanex said it will focus on its chemical trading business in Sri Lanka.
Since the staffing requiremens would be much less because of the planned revamp, it will implement a VRS for its staff.
Chemanex will also get the support services from its holding company, CIC Holdings, for the chemical trading business which will further reduce the cost of trading operations, the company said.
(COLOMBO, November 01, 2017)