SET Releases

Thanulux Plc (TNL) will raise its registered capital from Bt60.0 million to Bt120.0 million by issuing 6 million new shares at a Bt10 par, totalling Bt60 million. New shares will be allocated as a rights issue at the ratio of 1:1 at Bt10 apiece. The subscription and payment date will be from May 24-30, 1996. The registrar book will be closed for rights to receive dividend at noon on May 2, 1996. TNL said that the company will use the proceed for its various investment projects including the leatherware production expansion, the investment in the new system, and investment in a China-based company. The company will firstly invest in the plants and machineries in the business which received promotional privileges at Lampoon province in order to expand its leatherware production. The project is expected to require an investment of Bt44 million. The length of the project will be from April 1996 until February 1997. This project will help increase the production capacity of 130,000 units per year, representing 12% of the total leatherware production volume. In addition, the company will invest in the "Hanger System" in order to raise the efficiency of the production of trousers at its plant. The project is expected to require an investment of Bt5.0 million. The new system will be installed in July 1996 and will help increase the production capacity of trousers by 90,000 units per year, or 30% of the total production volume. Finally, TNL will jointly invest in a 90% stake of Kunming Shenjian Fashion Dress in China. The company expected to invest Bt11.0 million in July 1996. It expected the return on investment in form of dividends. Kunming Shenjian Fashion Dress is capitalized at US$500,000 and is engaged in the business of clothes and leatherware production for sales in both domestic and international markets. The company is expected to commence production in July 1996 and begin generating profit in October 1996. The shareholders will receive benefits from capital increase in that they will receive the dividend at the rate of at least Bt2 per year depending upon the company's performances and economic conditions. The shares subscribers will be eligible to receive dividend for the operational period 1996. Translated by the Nation