LUKS Industrial Co plans to raise funds for the final construction phase of a cement factory in Vietnam by issuing Euroconvertible bonds through its Vietnam arm.
The company said it was considering doing the issue through Salomon Brothers and would inform shareholders when it settled the terms and structure of the Euroconvertible bond.
A Euroconvertible bond is an issue of bonds that pay interest to bond-holders, but also offer the option of converting the bonds into the shares of the issuing company.
In this case, Luks said the bonds would be convertible into the ordinary shares of Luks Vietnam.
Luks said the initial public offering was expected to take place in Vietnam when Vietnam established a stock exchange, but the offering would be subject to shareholder approval.
Last month, Luks reported a 17.6 per cent rise in attributable profit to $60.2 million for the six months to June 30.
