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Published on October 31, 2007

The company said the name change would reflect its new business direction.

   It will phase out footwear manufacturing this year and concentrate instead on making computer parts.

   The company told the exchange it would triple capital to Bt600 million, most of which would be spent gearing up for its computer-parts venture.

   It said an extraordinary meeting was scheduled for December 11 to approve the changes. Asset Pro Management is the independent financial adviser.

   "The capital increase is for the company to resolve successive losses from shoe manufacture and to remain active as a listed company," managing director Songsak Thampimakwattana said.

   It will lease land, a factory and other facilities from major shareholder Saha Union on a year-by-year basis. Saha will supply orders. Saha owns 45.38 per cent of the company.

   The new venture is expected to cost between Bt280 million to Bt300 million. The remainder of the capital increase will be used to pay debt.

   To raise the money, it will have a two-for-one issue for existing stakeholders totalling 40 million new Bt10 shares. Subscription will be from December 20-25. Saha will purchase unsubscribed shares.

   Union Footwear shareholders voted to remain listed at their September meeting.

   Songsak said the company expected to be in a position to pay a dividend in three to five years.

The Nation