Way clear for NINE's recapitalisation ahead of terrestrial digital TV bidding
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Shareholders of Nation International Edutainment (NINE) yesterday approved the company's Bt174.25-million recapitalisation, aimed mainly at raising funds for terrestrial digital TV bidding.
Operator of the KidZone channel on satellite television, NINE aims to bid for a children-oriented digital TV licence.
This is one of the various types of licence that the National Broadcasting and Telecommunications Commission is scheduled to roll out in the next few months as part of the liberalisation of the airwaves.
A total of 85 million new NINE shares will be issued to existing shareholders in a 1:1 ratio. At Bt4 apiece, the shares will generate fresh funding of Bt340 million.
Each new share subscriber is being offered one five-year warrant for each share subscribed to, with an exercise price of Bt4.
Employees of NINE are also entitled to a five-year employee stock-option programme.
NINE shareholders also approved the proposed Bt0.15-per-share dividend payment for last year’s performance, payable on May 20.
In the year, the company’s revenue rose 20 per cent to Bt355 million, while net profit increased 65 per cent to Bt28 million.
NINE president Sivaporn Chomsuwan attributed the increase to revenue from new businesses like the KidZone channel and e-Book.
He expects at least 20-per-cent revenue growth this year, based on new satellite business and an increase in royalty fees from 2-3 per cent of total revenue to more than 10 per cent.
This will be achieved through the launch of books to entice particular target groups, e-Book business and new programmes on KidZone.
