KECK SENG SUSPENDS OPERATIONS OF ITS OVERSEAS HOTELS

KUALA LUMPUR, April 1  -- Keck Seng (Malaysia) Bhd has temporarily closed its three hotels in the United States and Canada and suspended non-essential services and facilities at its golf resort in Johor to abide by directives to curb the spread of COVID-19.

In a filing with Bursa Malaysia today, it said operations at the 317-room DoubleTree by Hilton Hotel Alana - Waikiki Beach (Hawaii), 173-room SpringHill Suites New York Midtown Manhattan (New York) and 433-room Delta Hotels by Marriott Toronto Airport and Conference Centre (Toronto) are suspended until further notice.

This is in line with the directives for citywide lockdown issued by New York City and Toronto.

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“The closure of the aforesaid hotels is also one of the measures to protect the guests and employees, support social distancing and control costs,” said the group, which is also involved in industries such as plantation and property development.

Keck Seng noted that the rapidly evolving situation caused by the COVID-19 pandemic has disrupted global travel and supply chains and adversely impacted global commercial activity. 

The company said although its 54-hole Tanjong Puteri Golf Resort in Johor is also temporarily off limits to the public, it will continue to service guests who have been staying there prior to the enforcement of the Movement Control Order.

Keck Seng does not know how long the closure would last but said its net cash flow for 2020 is expected to shrink, with the hotels and resort division requiring financial support from the holding company.

“Given the evolving circumstances, it is not possible for the company to quantify or determine the extent of the impact on its business and financial position,” it said.

It added that the company would undertake appropriate measures to mitigate the impact from the current situation and other developments.

-- BERNAMA