Page 16 - TYCONS - ANNUAL REPORT 2022

Tycoons Worldwide Group (Thailand) Plc.

3) Plating: Surface finishing and coating is necessary for screws and bolt to for rust-
proofing and improve their appearance. The surface treatment processes vary depending
on customer demand and include black phosphate, zinc electroplating (zinc blue, zinc
yellow), dacrotized and Rusper coating for screws, zinc electroplating for bolt.

3. Raw material

Billet and wire rod

TYCN’s raw materials sources are diversified by countries such as China, Vietnam, Oman,
India and Thailand. The proportion of purchasing raw materials domestically at 33% percent
and abroad at 67% percent. There is no raw material supplier to the company that exceeds
30% of the total purchase amount.

4. Property used in business activities
4.1 The Company's assets are land, buildings, factories, machines, tools and equipment,
Office equipment and vehicles. Core assets of TYCN as at December 31, 2021 – 2022.
Proprietary 2022 Total 2021 Total
Asset right/ Value (MB) Value (MB)
Ownership
1. Land and land improvement Ownership 518.63 514.53
2. Buildings and attached facilities Ownership 547.28 500.00
3. Machinery and equipment Ownership 1,491.52 1,626.13
4. Transportation & Vehicle Ownership 16.27 17.56
5. Furniture and fittings Ownership 11.50 3.82

4.2 Investment Policy in Subsidiaries and Related Companies
The Company has formulated an external investment policy in accordance with the
group's vision and growth plan, which will enable the group’s Company to have higher
operating efficiency or profit, or invest in businesses that creates benefits (Synergy) to
increase the Company's competitiveness and lead to the success of the goal to be a leader in
the Company's core business industry.
Therefore, the Company may consider investing in other sectors. If the business has
potential for business growth or it is beneficial to the business of the Company in the group's
Company and can generate a good return on investment. The Company will consider the
expected risks and returns and the Company's financial position before making an investment
decision. The investment must be approved by the Board of Directors' resolution. Board of
Directors or the general meeting of shareholders (If it meets the requirements).
In 2022, the Company has holding total shares of 71.83 million baht in KDB Co., Ltd,
by holding 44.99% of the issued and paid-up shares capital of KDB Co., Ltd, a company
specializing in real estate investments and making profits in the long term. Such investments
will give the company the opportunity to take a step towards investing in the real estate
sector. The main investment plan after the acquisition of KDB is to acquire land with
potential to add further value in the future when KDB has purchased sufficient land. The

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