Bangkok--Apr 22--KGI
KGI Shareholders said ‘Yes’ to the decreasing of registered capital to clarify the company’s budget. The accounting adjustment will not affect shareholders but will render the company’s budget more comprehensive.
Mr. Chen Pin-Sheng, Director of KGI Securities (Thailand) Plc. Ltd. announced the decisions of the shareholder meeting 1/2005 on April 21st that the shareholders have given the green light for the company to decrease the registered capital from ฿14.938 billion to ฿3.983 billion following the discarding of unsold shares. These shares were kept in reserve to support the recently expired warrants for purchasing the company’s common stock (KGI-W4) totaling 1,081.48 shares with the exercise price of ฿7.50 each.
In addition, in order to simplify the budget of the company, the shareholders have given their approval for the company to decrease its capital through the devaluation of the stock, of which the resulting differences would be used to balance the discount on common stock. The company will decrease its registered capital from ฿14.938 billion to ฿3.983 billion by decreasing the demarcated share price from ฿7.50 to ฿2. Afterwards, the resulting difference of ฿10.954 billion will be used to counterbalance the discount on common stock of ฿11.964 billion, in effect lowering the discount to ฿1.009 billion.
The Director continued that this decrement of registered capital through the devaluation of the stock would not endow the shareholders with extra capital, as it is merely an accounting adjustment to simplify the company’s budget. It would not impact the shareholders and the share price in the market in anyway (please refer to the table).
Mr. Chen Pin-Cheng further added that the board has approved the dividends to be paid to shareholders at ฿0.10 per share or 63% of the net profit of 2004, which amounted to ฿318 million or ฿0.16 per share. The company’s shareholder register book was closed on March 31st in order to determine the rights of shareholders to receive dividends and payment will commence on May 20th.
For more information please contact
Soraya Pongprayoon
Tel.02-663-3226 ext 66 , 01-697-9100 End.