Daniel Kuo, K Laser CEO (left) with Ken MacKenzie, Amcor managing director and CEO with (above) K Laser branding and its Taiwanese headquarters
Amcor announced today that it has entered into an agreement to subscribe for new shares to purchase a 16.67 per cent shareholding in K Laser China, a subsidiary of publicly listed Taiwanese company, K Laser Technology (HK) Company Ltd for a consideration of approximately US$10m. Amcoy has options to invest a further US$15m in new shares and acquire existing shares for US$12.6m to increase its shareholding in K Laser China to 50.1 per cent over the next two years.
Amcor will also purchase 5.6m new shares in K Laser Technology, for a consideration of US$3.5m, giving it a 4.2 per cent shareholding in that company. K Laser has an option to require Amcor to invest a further $8m in K Laser Technology over the next two years upon the
exercise of Amcor’s options in K Laser China.
K Laser is a global leader in the production of holographic films that are used extensively in the manufacture of tobacco packaging in the Chinese market and increasingly in other packaging applications.
Ken Mackenzie, Amcor managing director and CEO, says, "As part of the portfolio review process, which commenced in August 2005, the tobacco packaging market in China has been identified as a strategic growth opportunity for Amcor. Over the past 12 months the company has
developed a leading position in the manufacture of tobacco packaging in China through its investment in the Hong Kong publicly listed company Vision Grande.
"The investment in K Laser China and the parent company K Laser Technology, is an important step in expanding Amcor’s portfolio of value-added packaging materials by accessing leading technology in the development and production of holographic films. These films are increasingly being used in the manufacture of tobacco packaging for premium products in the Chinese market.
"K Laser is a global leader in these value-added packaging materials with an established footprint in the growing Chinese market. Amcor has elected to take an initial stake in K Laser China of 16.67 per cent with options to increase its shareholding to 50.1 per cent in two years. This is a similar approach to that used in Vision Grande. The investment in Laser Technology will allow Amcor and K Laser to work together to expand the market for holographic films in other geographic segments."
Amcor will initially have the right to appoint two directors to the Board of K Laser China.
ENDS
For further information, please contact
Ken MacKenzie John Murray
Managing Director & CEO Executive General Manager
Amcor Limited Corporate Affairs
Ph: +61 Amcor Limite
Ph: +
K Laser Technology is an ASO-9001 certified packaging and authentication solutions provider which recorded sales revenus in 2003 in excess of US$45m. Its shares are traded on the Taiwan Stock Exchange as K Laser.
Since its inception in 1988, K Laser has been dedicated to manufacturing and promoting high-quality holograms as the best packaging and authentication solutions.
As globalisation has encouraged product trading and population migration, counterfeiting, product branding, ID protection, and supply chain security have pressing issuesfor governments, brand owners, and the security world.
K Laser stays at the forefront of creative holographic ideas, offering a full array of holographic products to meet the world’s security, authentication and marketing objectives. From its corporate headquarters in Taiwan, K Laser has expanded into a global corporation with nine production sites and 12 sales offices worldwide, employing a total of 1200 employees.
