TWI Taiwan I.T

RNS No 2481q
TAIWAN INVESTMENT TRUST PLC
23 June 1999


       TAIWAN INVESTMENT TRUST PLC ("the Company")
      Proposals for a winding-up and reconstruction
                            
In  the Report and Accounts for 1998 the Chairman of  the
Company  stated  that  if  the  discount  at  which   the
Company's  Shares  have  been  trading  did  not   narrow
significantly  within a short period of  time,  then  the
Directors    would   put   alternative    proposals    to
Shareholders.  Despite the narrowing of the  discount  to
the  current  level of approximately  20  per  cent.  the
Directors   feel  obliged  to  provide  Shareholders   an
opportunity  to  be  able to decide  the  future  of  the
Company.

A circular is being sent to Shareholders today containing
proposals involving the winding up of the Company and the
ability  for Shareholders and Warrantholders  to  receive
shares  in the Taiwan Portfolio of Jupiter Tyndall Global
Fund and/or cash, through a redemption option, in respect
of  their holding.  Warrantholders will initially receive
shares in the Taiwan Portfolio equal to the net sum  they
would   have  received  if  they  have  exercised   their
subscription  rights.  These shares will be redeemed  for
cash unless Warrantholders elect otherwise.

The  proposals are conditional inter alia upon the  total
amount due to Warrantholders not exceeding 4.5 per  cent.
of  the Residual Net Asset Value of the Company prior  to
the deduction of the amount payable to Warrantholders.

Background to and reasons for the Proposals

Your  Directors have been concerned about  the  level  of
discount at which the Shares have traded compared to  the
net asset value of the Company.  This discount has varied
on  a  weekly basis between 10 per cent. and 31 per cent.
since  28th February 1998 up to 18th June 1999 the latest
practicable date prior to this announcement.

The  Proposals  are  designed to  give  Shareholders  and
Warrantholders the opportunity of realising a substantial
part  of  the net asset value of the Company and  thereby
greatly reducing the discount to net asset value at which
the Company's Shares have been trading.

The  Directors  believe that the Proposals offer  greater
choice  and flexibility than a liquidation as they enable
Shareholders   and   Warrantholders  to   realise   their
investment for an amount in cash approximately  equal  to
the  amount they would have received if the Company  were
simply  wound  up  while also offering  Shareholders  and
Warrantholders   the  alternative  of  continuing   their
investment in a successor vehicle.

The  Directors  believe that without  the  Company  being
wound-up  or reconstructed in some form the  Shares   may
continue  to  trade at a wide discount to the  net  asset
value of the Company.

Details of the Proposals

Under  the  Proposals,  Shareholders  and  Warrantholders
(other  than Non-Qualifying North American Holders)  will
be  entitled to exchange their investment in the  Company
for  shares  in  the Taiwan Portfolio of Jupiter  Tyndall
Global    Fund,   an   open-ended   investment    company
incorporated  in Luxembourg and listed on the  Luxembourg
Stock Exchange. Jupiter Tyndall Global Fund is advised by
Jupiter     Asset    Management    (Bermuda)     Limited.
Alternatively,  Shareholders (other than  North  American
Holders) who wish to realise their investment in the form
of  cash  will  receive Taiwan Portfolio Shares  but  may
choose to have their Taiwan Portfolio Shares redeemed  in
whole or in part on the day following the Effective  Date
by  the  Jupiter  Tyndall Global Fund.  Qualifying  North
American  Holders who do not elect to retain  New  Shares
will  have their New Shares redeemed on the day following
the Effective Date and will receive cash.  Non Qualifying
North American Holders will receive cash.  Warrantholders
who  do not elect to retain Taiwan Portfolio Shares  will
have  their Taiwan Portfolio Shares redeemed on  the  day
following the Effective Date and will receive cash.

Management,   Advisory,   Administration    and    Direct
Investment Agreements and Costs of the Proposals

If  the  Proposals are approved, the existing  investment
management  agreement  between the  Company  and  Jupiter
(Asia),   the  existing  advisory agreement  between  the
Company  and  TI Limited  and the existing administration
agreement   between   the  Company  and   Jupiter   Asset
Management  (Bermuda)  Limited and  the  existing  direct
investment  agreement between the Company, Jupiter  Asset
Management  Limited and Jupiter (Asia) will terminate  on
the Effective Date. Compensation equivalent to two years'
fees  will be paid to the parties in accordance with  the
terms  of  those agreements except the direct  investment
agreement  for which compensation will be  paid  for  the
period from 27th July 1999 to 29th April 2001.

The costs of the Proposals will be met by the Company and
excluding  the  contingency sum to  be  retained  by  the
Liquidators  are  estimated to be approximately  5.4  per
cent. of the Company's net assets as at 18th June 1999 of
126.2p  per share.  The effect of the crystallisation  of
the Warrantholders' rights is to reduce the Company's net
assets  by approximately 4.0p per Share, representing  in
aggregate  approximately 3.1 per cent. of  the  Company's
net assets.

By  way of illustration, based on the net asset value  of
126.2p per share as at the close of business on 18th June
1999 and the average market price of the Warrants for the
ten  consecutive dealing days ended on 17th June 1999  of
19.9p  the Residual Net Asset Value per Share would  have
been 115.0p.

Effects of the warrants

The  terms of the Warrants provide that, on a winding  up
of the Company, if there would be a surplus available for
distribution  to  Shareholders  which  would  exceed  the
subscription price (as adjusted) under the terms  of  the
Warrants,  then  the Warrantholders will  be  treated  as
though  they had exercised their subscription rights  the
day  immediately prior to the winding up  taking  effect.
The  Warrantholders are then entitled to receive cash out
of  the  assets available in the liquidation on the  same
basis  as the Shareholders less the adjusted subscription
price.

In  the  event  of  a winding up, the subscription  price
payable  by the Warrantholders is reduced.  The reduction
in  the  subscription price is calculated by means  of  a
formula  contained  in the terms of  the  Warrants.   For
illustrative purposes based on a Residual Net Asset Value
of  115.0p, 19.9p per Warrant would have been paid on the
application of the warrant terms on 18th June 1999.

In  order  to  mitigate this effect, it  is  a  condition
precedent  to the Proposals that the Proposals will  only
proceed  if  the total amount due to Warrantholders  does
not  exceed 4.5 per cent. of the Residual Net Asset Value
prior   to   the   deduction  of  the  amounts   due   to
Warrantholders. By way of illustration, if  the  Residual
Net  Asset Value per Share (before deducting amounts  due
to  Warrantholders) is 119p, then the average price of  a
Warrant for the 10 dealing days before adjustment  cannot
exceed approximately 28.25p if the condition precedent is
to be met. If this condition is not met the resolution to
be  proposed at the Second Extraordinary General  Meeting
of  the  Company convened for 27th July 1999 will not  be
put  to  the meeting and a resolution will be put to  the
Meeting for an adjournment sine die.

Approval and implementation of the Proposals

The Proposals are conditional, inter alia, on the passing
by  Shareholders of the special resolution to approve the
Scheme  to be proposed at the First Extraordinary General
Meeting  to  be held at 10.00 am on 16th July  1999.   If
this resolution is passed, the Scheme will, however,  not
become   effective  until  the  passing  of  the  special
resolution to wind-up the Company to be proposed  at  the
Second Extraordinary General Meeting and the satisfaction
of  all other conditions to the Scheme. If the resolution
to   wind  up  the  Company  is  passed  at  the   Second
Extraordinary  General Meeting, the Liquidators  will  on
the  same  day  enter  into the  Transfer  Agreement  and
transfer  the assets of the Company equal to the Residual
Net  Asset Value to the Taiwan Portfolio.   The following
day Shareholders who elect to redeem the Taiwan Portfolio
Shares  together with Warrantholders who have not elected
to  retain their Taiwan Portfolio Shares will then become
entitled  to  receive from  Jupiter Tyndall  Global  Fund
cash  to the value of the New Shares with which they have
been  issued.  The  Bank of Bermuda will dispatch cheques
to   Shareholders  who  elect  to  receive  cash  and  to
Warrantholders  who  do not elect  to  retain  their  New
Shares  on  30th  July  1999,  or  as  soon  as  possible
thereafter.

Dealings and settlement

The last day of dealings on the London Stock Exchange  in
the  Shares  and  Warrants for normal account  settlement
will be 12th July 1999.  As from 13th July 1999, dealings
should be for cash settlement only and will be registered
only  if  documents  of title are delivered  immediately.
The Company's registers will be closed at 4.30 pm on 19th
July 1999.

Definitions  used in this press announcement  shall  have
the  same  meaning  as  set out  in  the  circular  being
despatched to Shareholders and Warrantholders today.

Enquiries:

Philip Butt   Jupiter Asset Management Limited  0171 412 0703

Ravi Anand    HSBC Investment Bank plc          0171 336 2234

HSBC  Investment  Bank plc, which  is  regulated  by  The
Securities  and Futures Authority Limited, is acting  for
Taiwan Investment Trust PLC and for no one else and  will
not be responsible to anyone other than Taiwan Investment
Trust  PLC  for  providing  the protections  afforded  to
customers  of  HSBC Investment Bank plc or for  providing
advice  in  relation  to  the  Proposals  or  any  matter
referred to in this announcement.


END

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