Sumitomo Corporation (TSE:8053) agreed to acquire the remaining 10.27% stake in Sumisho Specialty Steel Corporation from Aichi Steel Corp. (TSE:5482) on September 2, 2016. Under the terms of the transaction, Sumitomo Corporation will acquire the remaining stake through short-form share exchange and issue 0.431 ordinary shares for each share of Sumisho Specialty Steel Corporation held. The shares to be delivered by Sumitomo Corporation will come from treasury shares it owns. As of September 2, 2016, Sumitomo Corporation holds 89.73% stake and Aichi Steel Corp holds 10.27% stake in Sumisho Specialty Steel Corp. Upon completion, Sumisho Specialty Steel Corp will become a wholly owned subsidiary of Sumitomo Corporation.

For the term ended March 31, 2016, Sumisho Specialty Steel Corporation reported total assets of ¥6246 million and operating profit of ¥369 million As of September 2, 2016, Boards of Directors of both, Sumitomo and Sumisho, approved the transaction. The transaction is subject to the approval of shareholders of Sumitomo Specialty Steel shareholders and is expected to complete by October 5, 2016.

Sumitomo Corporation (TSE:8053) cancelled the acquisition of remaining 10.27% stake in Sumisho Specialty Steel Corporation from Aichi Steel Corp. (TSE:5482) on September 5, 2017.