APWC

• Shareholder Concerns: Shareholder Marco M. Elser expressed deep concerns over APWC's persistent share price decline, noting that the stock trades at only 22% of its tangible book value of $7.50 per share, while peers have seen stock prices rise over 400% in the past five years.
• Capital Allocation Missteps: Elser criticized management's decision to issue new shares at a price below book value instead of repurchasing undervalued shares, indicating a disregard for shareholder value that could lead to severe dilution for existing minority holders.
• Inventory Assessment Proposal: He urged the formation of an independent special committee to evaluate whether maintaining $137 million in copper and finished goods inventory is in shareholders' best interests, particularly given the company's historically low margins.
• Transparency Improvement: Elser called for a commitment to quarterly earnings calls and regular strategic updates to enhance transparency with all shareholders, aiming to rebuild market confidence and restore shareholder value.

Asia Pacific Wire & Cable Corporation Rights Offering Announcement

• Registration Statement Filed: Asia Pacific Wire & Cable Corporation Limited has filed a Registration Statement on Form F-1 with the SEC for a proposed rights offering aimed at raising equity capital.
• Funding Goals: The rights offering is expected to generate approximately $34.2 million in gross proceeds, which will primarily fund new production facilities to leverage global supply chain realignment.

Rights Offering Details

• Subscription Rights: Shareholders will receive non-transferable subscription rights to purchase additional common shares at a price of $1.66 per share, with one right issued per common share held.
• Over-Subscription Option: Rights holders can exercise an over-subscription right to purchase additional shares that remain unsubscribed, subject to availability.

Participation from Major Shareholder

• Investment from PEWC: The controlling shareholder, Pacific Electric Wire & Cable Co., Ltd. (PEWC), plans to invest approximately $27.7 million in the rights offering, although there is no guarantee of this investment being finalized.

Regulatory and Procedural Notes

• SEC Approval Required: The rights offering will not commence until the SEC declares the Registration Statement effective, and details such as the record date and subscription period will be provided in the final prospectus.

Company Overview

• Business Operations: Asia Pacific Wire & Cable Corporation is a holding company based in Bermuda, with operations in manufacturing and distributing enameled wire, power cable, and telecommunications products across various Asia Pacific markets.
• Customer Base: The company serves a diverse clientele, including appliance manufacturers, electrical contractors, and state-owned entities.

Forward-Looking Statements

• Caution on Projections: The announcement includes forward-looking statements that involve risks and uncertainties, and actual results may differ from those anticipated. Investors are advised to consider these factors when evaluating the company's future performance.

• U.S.-China Tariff Deal: The new U.S.-China agreement to temporarily reduce tariffs from over 100% to 10% has been positively received by market watchers, with expectations of increased investor relief and a potential boost in stock markets globally.

• Market Reactions and Future Outlook: Analysts predict that the deal could reignite risk-on sentiment among investors, leading to further stock rallies, while acknowledging that uncertainty remains regarding future negotiations and the effectiveness of the 90-day pause.