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Published on August 18, 2007

TKS Technologies' management is confident that its recapitalisation plan will not be affected by the current stock market volatility, saying that it still expects the process to be concluded in October.

Chairman Supant Mongkolsuthree said yesterday that the company's plan for a Bt42-million capital increase share via private placement was still ongoing.

Supant said the company was in talks with a few funds from the US and Asia. The current market sentiment, he said, would not affect the stock price as the company has already fixed the initial price.

However, in the worst case, if the capital increase plan were delayed, the company still has a credit line from banks to finance its investment plans.

With foreign funds as its partners, the company would have more potential in seeking customers from overseas, Supant said. This would boost the company's margin. Further, printing orders from overseas are expected to be more regular than domestic ones.

Supant also insisted that the company would have its subsidiary Synnex (Thailand) listed on the market in the first or second quarter of next year and will conduct a filing with the Securities and Exchange Commission in the fourth quarter of this year. The listing will provide Synnex with funds to finance its business expansion, as the IT business is likely to expand well next year.

Supant said printing jobs would increase continually next year, particularly those involving print-out forms. The company needs to expand its factory space and improve inventory management as its production capacity is soon to be fully utilised.

He said TKS's printing and electronic-parts business were expected to grow in the second half of this year from the first half by 8-9 per cent and 5-6 per cent, respectively.

Supant said the computer-parts business generated income of Bt2.65 billion in the first half of the year, a rise by Bt286.41 million or 12 per cent year on year.

Siriporn Chanjindamanee

The Nation