PRWEEK: MDK to assist beleaguered Union Mosaic

BANGKOK: MDK consultants fought off three rivals in a bid to restore confidence in debt-laden tile maker Union Mosaic, following the implementation of a restructuring plan on the back of a recovery in residential construction.

The consultancy's key task is to project Union Mosaic's financial robustness and its competitive comeback, said MDK CEO Danai Chanchaochai.

"Our main priority is to make sure that investors know this and are comfortable about investing in the company."

MDK will also provide marketing and sales support for Union Mosaic's ceramic tiles.

Under the recently finalised restructuring plan, debt owners TAMC and Tisco Finance wrote off 396 million baht (US$9.9million) of the SET-listed company's principal debt of 1.46 billion baht, and accrued interest of 600 million baht; with the balance re-scheduled over 10-years.

Meanwhile, Union Mosaic is projecting 15 per cent sales growth for the year in light of the current construction boom.

MDK's first task involves planning a media junket to Italy to cover the acquisition of state-of-the-art machinery for the expanded Thai plant.

The agency is also working on "seminars for houseware outlet (operators) and a campaign that will involve the end-user," Danai added.

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