(Alliance News) - Restaurant owner Tasty PLC on Monday said it has suspended in-store dining at all 56 of its restaurants following guidance from the UK government regarding virus containment restrictions.
The stock fell 42%, trading at 1.08 pence each on Monday afternoon in London.
The company - which operates DimT and Wildwoods restaurants - said it is now offering takeaway and delivery services where possible until such a time when the option is no longer viable or the government prohibits it.
Tasty said it will mitigate revenue loss but implementing cost cutting measures such as ceasing capital expenditure, seeking preferential terms from landlords and suppliers, and relying on government support for employees' pay, VAT and business rate holidays.
"Given the company's existing cash position with no debt, the directors confirm that during the period of shutdown and assuming it is successful in implementing the cost-cutting and cash preservation measures referred to above, it has sufficient financial resources for the foreseeable future", Tasty added.
As at December 29, the company had net cash of GBP2.9 million.
By Ife Taiwo; ifetaiwo@alliancenews.com
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Tasty (TAST)