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Fabrica
8. The Deal

Because of the continuing financial and economic difficulties throughout East Asia, with institutional lenders mainly awaiting completion of the extensive fiscal, legal and regulatory reforms Thailand has undertaken since the collapse of the baht in July 1997, we do not believe we could raise local funding for Fabrica any sooner than mid-2000.

We do not believe we can afford to wait a year or perhaps two. The Fabrica opportunity is too remarkable to go much longer unnoticed. Equity funding is the most practical way to finance the project.

8.1 Shares offered and price

To complete funding for construction of our plant, we are therefore offering to an interested institutional or individual investor a 49% interest in Fabrica Co., Ltd. (980,000 "A" shares, par value B 17.50 or $0.50 per share) to be bought at par for a one-time payment of $490,000.

8.2 Guarantees to the investor

To assure the value of this large minority shareholding, we propose the following conditions for these "A" shares:

8.3 Value of the deal



Dollars20002001200220032004
Initial Investment(490,000)----
Dividend Received-557,2471,033,6451,676,6632,842,781
Net Investor's Cashflow(490,000)557,2471,033,6451,676,6632,842,781

8.4 Exit strategies


Fabrica Co., Ltd.
Table of ContentsAppendices
0. Executive Summary
1. Company
2. People
3. Product
4. Market
5. Marketing Strategy
6. Operations Strategy
7. Financial Plan
8. The Deal
Sample Production Costs
Glossary of Terms
Patentable Features
Sample Order Flow
Financial Assumptions
Investment Structure
Yearly Income Statement
Yearly Cash Flow
Yearly Balance Sheet
Monthly & Quarterly
Proprietary to Fabrica Co., Ltd.