Dear Editors,
Regarding the article yesterday on the proposed LBO of Boto, it will not succeed on its current terms.
Actually the leisure furniture business is not pretty negligible - they sold about HK $182m based on H1 orders in hand at 30-Sep-01 for the year just ended 31-Mar-02. That is more than double the previous year's sales of HK$81.7m.
The HK$182m compares with festive products xmas trees and decorations of HK$828m in the year to 31-Mar-01 and maybe HK$950m in the year to 31-Mar-02. So leisure furniture is already running at about 20% of sales and growing rapidly. That's the growth engine, and there is no way will minority shareholders...
