November The Company invested in Asia Asset Advisory Co.,Ltd., intending to purchase or lease real property or invest in the claims, by subscribed 499,994 shares at the price of Baht 10 per share, with the aggregate amount of 4.99 Million Baht or 49.99%.
The Online Project Management System (OPM) was developed to link and coordinate between the management, construction, and group project departments as well as contractors and material suppliers.
The web site of “homedd.com” was developed to provide convenience to homebuyers. The web site has information of housing projects, locations, housing designs, prices and eight financial institutes bidding to deliver the effective information of home loans to buyers. The mortgage approval is made on-line.
The Pre-built house strategy was initiated and implemented to precisely serve needs of homebuyers. The strategy can ensure homebuyers that they will be able to make a buying decision, while seeing the real completed houses and chose one among the completed units. Many homebuyers had changed their buying behaviors after getting nightmare experiences during the property crisis that they did not get the house they bought. They would make a buying decision until the houses were finished.
Demcember The Company bought 348,000 shares of Home Products Center Co.,Ltd. at 140 baht per share, with the par price of 100 baht per share, totaling 48.72 million baht, from one of its subsidiaries, PCM precast Floors Co.,Ltd. The transaction, which had already been approved by PCM Precast Floors’ board, should help expand the scope of the Company’s businesses as Home Products Center Co.,Ltd operates businesses complementing to the Company’s construction material retailing and wholesaling. The deal also provided more circulating capital for its subsidiary.
The Company appointed an audit committee comprising
- Mr.Prateep Wongnirund Chairman
- M.R.Pridiyathorn Devakula Committee
- Mr.Pakawat Kovitvathanapong Committee
November The Company successfully restructured debts worth 17,435.05 million baht of the total of 17,713.20 million baht. The remaining 278.15 million baht was undergoing negotiations. The major elements of the restructuring were as follows:
- For debts of 14,485.5 million baht, the repayment period was extended to 7 years. The principals were not to be paid in the first two years. The baht-denominated debts were charged interests at the rate of the minimum lending rate (MLR) of the creditor banks or of a local bank as determined by the creditors. For debts denominated in foreign currencies, the interest rate of LIBOR+1% applied.
- Debts of 120 million yen, or 45.67 million baht, were converted into 45,672 convertible debenture at 1,000 baht each subjected to the following conditions:
- The Convertible rate was set at 18.38 baht on ordinary share
- The interest rate was set at 14% a year
- The redemption period was set equally for every year, from December 1, 2002 to December 1, 2006
- Redemption could be made before maturity at the face value plus an equivalent of the average MLR of four Thai commercial banks minus 4% a year of the face value, calculating from the issue date to the date of redemption.
- For debts worth 2,903.88 million baht, the Company made agreement to settle them with the creditors by repaying 1,753.97 million baht. The Company made a profit of 1,149.91 million baht from the debt restructuring.
The Company sold 178,176,546 ordinary shares to existing shareholders at the proportion of 5 old shares for2 new shares at 14 baht each, raising 2,494.47 million baht.
September It was a major change in the Company’s shareholding when GIC (Government of Singapore Investment Corporation Pte Ltd.) purchased the Company’s 94,285,715 shares at Baht 14 per share, accounting for 21.17% of the issued shares, leading to the total capital increase of Baht 1,320 million.
June To lift the living standard of Thai consumers, L&H began initiating new housing designs and improving house function and construction quality. The company made a market survey, especially among those who live in its existing housing projects, about their housing requirements and brought up the result to develop into new housing designs. The new housing designs under the concept of “Baan Sabai” were based on convenience, safety and energy saving. Baan Sabai is considered as the company’s new business strategy, emphasizing on its leadership in developing housing designs and living standards. Baan Sabai house comprises three main elements;
- Good air ventilation and energy saving The Baan Sabai house is made from light – weight concrete blocks, green tinted glass, which helps reduce solar reflection and heat, wooden eaves and aluminium foil under the roof.
- With a complete smart function, The Baan Sabai house is designed to have a practical function system such as pest-control pipes are laid underground, bathrooms have both wet and dry areas, kitchen consists of preparation and cooking zones and wallpapers are installed for every room.
- Readiness for convenience and safety The Baan Sabai house installs an automatic electricity safety system, emergency electricity, high quality mosquito screens, water pump and water-reserve tank and garden around the house. The concept of Baan Sabai house is initiated as a completely built house which is ready for buyers more than in the past and the buyers will not be time-comsumed and able to leave all the problems about preparing to move in. This will help them reduce financial burdens as well.