1
                                                                  Exhibit 2.7


(Unofficial translation from Chinese to English.  In case of discrepancy, the
Chinese version prevails.)

==============================================================================


                 MEMORANDUM REGARDING CONTRACT FOR USE OF LAND

This Memorandum is made on March 25, 1996 between

Party A:         Shenzhen City Baoan Xinan Gu Su Estate Residents Committee;
                 and

Party B:         Namtai Electronic (Shenzhen) Co. Ltd.

Whereas Parties A and B have entered into an agreement dated November 29, 1993
regarding the transfer of the land with a total area of 26,313.28 square
meters, situated at Zhuao, Gu Su Industrial Estate, Xinan, Baoan (hereinafter
called "the Land"); and

Whereas The People's Government of Shenzhen City, on February 27, 1996,
announced a new legislation regarding lease tenure.

Therefore Parties A and B agree to execute this Memorandum to confirm the lease
tenure for Party B to use the Land be extended to 50 years.

This Memorandum is legally binding.  All disputes or contradictions arising from
the execution of the terms of this Memorandum, the related contracts and
agreements and other related documents shall be resolved by benevolent
negotiations between Party A and Party B. In failure to agree on a mutually
acceptable solution, the issue should be submitted to the local arbitration
authority for judgement and such judgement shall be final and legally binding
to both parties.

This Memorandum comprises of six counterparts and each party shall retain three
counterparts.  All six counterparts duly signed, executed and sealed shall be
valid and have the same legal effect.



                                        
Signed by:

Party A:                                   Party B:
Shenzhen City Baoan Xinan Gu Su Estate     Namtai Electronic (Shenzhen)
Residents Committee                        Co. Ltd.
Authorized Person                          Authorized Person


Date:  March 25, 1996