Enter Touchwood Salon!

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http://www.cse.lk/cmt/upload_cse_announcements/3791381318976_.pdf

* More Directors, CEO quit within two weeks of entry

* Latest exits bring total to 13 Directors leaving company

* Another new NonExecutive Independent Director appointed

* Chairman takes up CEO role

Troubled Touchwood Investments Plc is turning out to be a popular salon, judging by the entries and exits of Directors.

The company yesterday announced the resignation of recently-appointed Director and CEO Dr. Sujeewa Lokuhewa with effect from 7 October. He was first appointed on 27 September.

When he was appointed Lokuhewa was identified as the Director/Group CEO of ETI Regent Group, with expertise in accounts, special management techniques, human resource management and legal aspects.

Another Executive Director S.K. Dhammika has also given notice effective 10 October.

Dhammika was identified as Vice Chairman South Asian (7side) Football Association and Director of Benchmark Education Institute, Matara. He was appointed following the resignation of Independent Director A. Ralph Pereira.

An engineer, Pereira was the ninth Director to quit the TWOD Board since July 2012.

Newly-appointed Chairman Lanka Wijendra Kiwlegedara, who had his own share of switches of seats including a meteoric rise to the top, has assumed the CEO role as well following Lokuhewa’s resignation.
TWOD didn’t give reasons for the resignation of the two Executive Directors.

The company also announced that Chamitha Ranneththi has been appointed as a Non-Executive Independent Director with effect from yesterday.

Ranneththi has been identified as Chairman of RKC Construction and Consultancy Ltd., with expertise in financial consultancy in investment of real estate and management of real estate property and plantation.

With the exits of the CEO and Director, the number of resignations since July 2012 amount to 13. Last week controversial MP deleted Silva stepped down from the TWOD Board a week after he was appointed.

Chairman Kiwlegedara in a filing to the CSE this week denied that deleted Silva or his father Lal have any advisory role in the Board or the company.

Kiwlegedara became Chairman on 27 September having been Business Development Manager/Director, Executive Director and Acting CEO in a matter of days. This was after TWOD-fame Mr. and Mrs. Maloney stepped down as Chairman and Vice Chairperson/CEO respectively though they remain on the Board. The duo didn’t attend the AGM held on 26 September as they remain overseas.

Now seen as the prime driver of TWOD, Kiwlegedara has been identified as founder and Deputy Chairman of BOI approved mineral export firm Woollm Lanka Ltd., and Managing Director of Asian Investments and Mercantile Services Ltd.

Following winding up action filed by a defaulted customer and supported by 26 others, TWOD has to come up with a repayment plan by 14 October to Commercial High Court. Investigation into affairs of the Company by the Securities and Exchange Commission is continuing as well.

Kiwlegedara is on record that an infusion of $ 21 million was in the offing apart from several other measures to salvage TWOD, which has over Rs. 7 billion in liabilities. Its asset base is over Rs. 8 billion but analysts have questioned their actual value.

TWOD lawyers maintained the company was only facing a cash flow issue and along with revival plans there was no reason for winding up or appointing a provisional liquidator. Apart from lack of funds, customers fear further erosion in assets at TWOD prompting a spate of legal action.

TWOD stock price yesterday gained by 40 cents or 9% to close at Rs. 5 with 22 million changing hands via 1,741 trades.

Touchwood styles itself as the pioneer of the agro-forestry investment industry in Sri Lanka. It specialises in the cultivation of high value exotic tropical timbers as an alternative and sustainable source of forest products (mahogany, vanilla, sandalwood, teak and other cash crops).

As per its 2012/13 Annual Report, TWOD had planted over 400 trees of high-value timber in 2,854 acres spanning 42 plantations in six districts. This is in addition to timber plantations in Thailand for which customer deposits have been taken by the company.

Despite styling itself as pioneer and in business for over a decade, TWOD remains saddled with over Rs. 500 million worth retained losses. Liabilities amounted to Rs. 4.7 billion as at end FY13, up from Rs. 3.7 billion a year earlier.
http://www.ft.lk/2013/10/10/enter-touchwood-salon/

hehe man, all these adverse write ups will be erased off once the final structuring plan submitted to the courts on Monday. Ppl whom are resigning are being removed to bring in some capable/ influencing ppl to the panel ..., they're (old Board members) the reason for the downfall on the company..., shouldn't these buggers needs to be sent home..., expecting favorable outcomes by today or tomorrow from the company!!!!

TWOD heta 6.50 gahanawa....

If the Maloneys knew that the company can be restructured easily and put back on track, they would not have sold their shares for peanuts and fled!!

Any idea who is maintaining those tree's and plants during this crisis??? A dead plant/tree takes years to grow!

Will it be easy to attract new customers even if the company is restructured??? It is going to be VERY tough specially if politicians get involved. Remember poor villagers and uneducated masses do not invest in these products!

Cheers!

Market.Player wrote:TWOD heta 6.50 gahanawa....

you are the insider  

Maloneys are swindlers n' intention was to default..., u don't need baby sitters for trees!!! mgt is getting sorted n' business vl boom..., my view is at 15levels not immediately but very soon!

It is surprising that rank amateurs are being used to promote in forums such as this. Its an insult to the intelligence of forum users.

moonwalk wrote:hehe man, all these adverse write ups will be erased off once the final structuring plan submitted to the courts on Monday. Ppl whom are resigning are being removed to bring in some capable/ influencing ppl to the panel ..., they're (old Board members) the reason for the downfall on the company..., shouldn't these buggers needs to be sent home..., expecting favorable outcomes by today or tomorrow from the company!!!!

The Chairman who identified a person as CEO with the capable capacity became very incapable within such a short period of time.

moonwalk wrote:Maloneys are swindlers n' intention was to default..., u don't need baby sitters for trees!!! mgt is getting sorted n' business vl boom..., my view is at 15levels not immediately but very soon!

Seems to be you are using our forum as a platform to justify the TWOD new mangement and want to promote their future actions.

IMHO TWOD from the beginning the board of directors came into CSE to deceive the investors and suck the money from innocent retailers. If you go through the history of prices, before and after bonus issues , right issues and split, how the board of directors decreased/ increased their holdings.

Unfortunately SEC or CSE couldn't caught them (obviosly they don't want also) because that time market was in BULL mood. Retailers also enjoying the price fluctuation to do day trading. No complain from anyone.

Price fluctuations from 200 to 2013 June,you can find from the following link.(Thanks for the blogger)
http://sharemarket-srilanka.blogspot.co.uk/2013/09/touchwood-investment-plc-at-glance.html

Seems to be the new management will push the price and go for right issue to keep the TWOD alive.

These Maloneys have done the worst thing for the company and dont deserve single respect imo..

Moonwalk, just stop talking about TWOD now as u posted 19 comments out of 20 for that so far. Its prominent that ur here to promote TWOD and wipe out the fear of investors..
I remember u were talking about some other counters where u found uptrend is expected..talk about those now so that we can at least leave the doubts out of you if you present in a justifiable manner.. So do that now before I ban you for the promotional attempts..

No man still my other picks are getting sorted soon vl be addressing on another gold for now collecting TWOD tomorrow it's at 4.40 levels ya baby!!!!