Here is what i (now) know:
Nam Tai Electronics, Inc. Announces Strategic Investment
VANCOUVER, British Columbia, May 27 /PRNewswire/ -- Nam Tai Electronics, Inc. (''Nam Tai'' or the ''Company'')
(Nasdaq: NTAIF - news, NTAWF - news) today announced a strategic investment of $16 million for approximately 20%
of the outstanding shares of Group Sense (International) Limited (''Group Sense''), a Hong Kong publicly listed company
(Hang Seng company # 601). The purchase price of the Group Sense shares is based on the closing price of the shares as
quoted on The Stock Exchange of Hong Kong Limited on May 26, 1998. BNP Prime Peregrine Securities Limited in Hong
Kong arranged the transaction.
Group Sense is involved in Original Design Manufacturing (''ODM'') and is principally engaged in the design, manufacture
and sale of a range of information and educational products including electronic personal Chinese dictionaries, electronic
multi-lingual translators, LCD hand-held games, electronic personal organizers, computer products, and educational toys.
Group Sense also manufactures telecommunication products, and is especially successful in the manufacture and sale of
pagers to customers such as Motorola.
Besides manufacturing products under its own name, Group Sense is also involved in the design and production of high-end
electronic products for several major international brands. Group Sense has strong development capabilities, most notably in
software, and was awarded several major industrial awards in the areas of technological achievement, quality, and product
design in Hong Kong.
Group Sense's principle office is in Hong Kong. Its manufacturing facility is located in Dongguan, China. It has strong sales to
markets in Europe. Group Sense has also successfully expanded its market in the PRC by developing a retail distribution
network in major cities.
Although Nam Tai and Group Sense are both involved in the electronics industry, their customer base, market focus and
product lines are different but complementary. It is envisioned that Nam Tai's acquisition of an interest in Group Sense will
develop into a strategic alliance which promotes future growth and success for both entities.
Group Sense reported approximate sales and net income of US$94.1 million and US$7.8 million respectively for the fiscal
year ended March 31, 1997. For the first six months of fiscal 1998 ended September 30, 1997, Group Sense reported
unaudited sales and net income of US$ 67.5 million and US$7.6 million respectively.
''As part of this strategic investment, two non-executive directors nominated by Nam Tai will be appointed to the Group
Sense board of directors,'' commented Mr. M. K. Koo, Chairman of Nam Tai. ''Nam Tai intends to explore mutually
beneficial opportunities with Group Sense.'' |
