Hong Kong’s Bonjour Holdings, parent of the namesake cosmetics retail chain, has confirmed it is being sued for unpaid rent relating to a tenancy dispute.
In an advisory note to the city’s stock exchange, the company said its subsidiary Bonjour Cosmetic Wholesale Center, is the subject of a winding-up petition lodged by Apexwealth Investment which will be heard in court on March 10.
Apexwealth claims Bonjour has failed to pay HK$4.03 million (US$520,000) in rent, air-conditioning charges, management fees and interest following “an alleged breach of a tenancy agreement”.
Bonjour said in its statement that it was seeking legal advice relating to the petition which it says will have no material impact on the business and normal operations of the company and its subsidiaries.
Like most Hong Kong retail chains whose business models rely on high volumes of spending by Mainland Chinese and other inbound visitors, Bonjour has been closing underperforming stores in tourist areas since the social unrest of last year and the advent of the Covid-19 pandemic early this year.
In August, the company reported a loss attributable to shareholders of US$17.93 million on sales down 59.7 per cent to $42.93 million. At the time it said it was continuing to review its store network, closing underperforming outlets and negotiating rent discounts with landlords.