Hayleys phases out retail electronics

Singer to manage showroom network:

Hayleys Consumer Products Limited (HCPL) plans to intensify its focus and commitment to core brands, and its distribution businesses.

The company said it plans to phase out its retail electronics business. As a first step Hayleys Electronics (Retailing) Ltd, its subsidiary in electronics retailing has entered into an understanding with Singer Sri Lanka Limited to manage its network of showrooms with effect from January 2.

"This re-orientation of the company's areas of focus is a strategic decision that will enable HCPL to concentrate on its current strong portfolio as well as on new business categories that fit well with medium and long term profit and growth targets," the company's CEO Trevor Reckerman said.

"This decision was arrived at after a detailed analysis and a new business plan developed after extensive discussions with our principals, and is believed to be in the best interests of all parties concerned."

Singer (Sri Lanka) Ltd. (SSL) Chairman Hemaka Amarasuriya said taking over of Hayleys Electronics' well located retail network is in line with their goal of expanding the distribution network and providing comfort and convenience to Singer's customer base of over four million households spanning the length and breadth of Sri Lanka.

These showrooms will in turn reinforce Singer's multi channel dimension with significant additions to the "Singer Plus", "Sisil World" and "Merit" Channels of Distribution.

Subsequent to this restructuring, Hayleys Consumer will continue to represent brands such as Fujifilm and Fuji Medical Systems, Shimadzu Imaging, Proctor & Gamble (P&G), and Philips Lighting for which the company has achieved market leadership status or significant market shares.

It will also announce in time and share with its erstwhile stakeholders, several new business affiliations in the areas of FMCG and Pharma that are now in a mature stage of development, Reckerman said.