Shoe manufacturer Kingmaker Footwear Holdings is investing HK$50 million on improving its production capacity.

The company, which makes shoes for brands such as Clarks and Timberland, intends to boost capacity by 10 per cent during the next eight months, adding six more plants in Vietnam and China.

However, executive director Phillip Kimmel said labour shortages in these countries could force the company to set up satellite factories instead.

Kingmaker's full-year net profit dropped by 15 per cent in 2003 to HK$103m.