TCL Communication to Raise HKD358mn

TCL Communication Technology Holdings Ltd. (SEHK: 2618), a subsidiary under TCL Corporation (SZSE: 000100), is scheduled to raise about HKD 358 million, according to TCL's financial report.

The capital will be mainly used to develop ODM business, upgrade its existing production facilities, and complement working capital. TCL Industries, a wholly-owned company under TCL, will buy 166 million shares at a price of HKD 1 per share, and become the underwriter of the deal.

TCL Communication sold 42.4 million mobile phones and mobile phone accessories in the third quarter, increasing 20% year on year and 61% quarter on quarter. So, the company's sales volume has rebounded from the global financial crisis, achieving the level before it, citing its data report. In addition, it gained a net profit of CNY 13.89 million from July to September, and its revenue is expected to keep rising in the fourth quarter.

Source: www.cnstock.com (November 04, 2009)

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