Kodama Chemical Industry Co.,Ltd. announced that it expects to receive ¥1 billion in funding from Endeavour United Co., Ltd.
March 05, 2020
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Kodama Chemical Industry Co.,Ltd. (TSE:4222) announced a private placement of 3,906,250 common shares through third party allotment at a price of ¥256 per share for gross proceeds of ¥1,000,000,000 and net proceeds of ¥960,000,000 on March 6, 2020. The transaction will include participation from Endeavour United II Investment Business Limited, a fund managed by Endeavour United Co., Ltd. Post the transaction the investor will hold 49.86% stake in the company. The transaction has been approved by the board of directors of the company and is subject to a special resolution, which will be held in June 2020 at the ordinary general meeting of shareholders. The transaction is also subject to obtaining business rehabilitation plan approved with the consent of the target creditors at the third creditor meeting for the Business Rehabilitation ADR Procedure. The transaction is expected to close on June 30, 2020.
KODAMA CHEMICAL INDUSTRY CO.,LTD. is a Japan-based company mainly engaged in the automotive parts business, housing equipment and refrigeration parts businesses, and the entertainment business. It operates through three business segments. Automotive Parts segment manufactures and sells automotive parts such as instrument panels, bumpers, door panels, door trims, luggage trims, pillar garnishes, side mud guards, consoles, cylinder head covers, oil reservoir tanks, and other parts. Housing Equipment and Refrigeration Parts segment manufactures and sells home appliances such as wash mirror cabinets, bathroom ceilings, counter panels, bathtub aprons, washing machine bread, drain traps, sanitary parts, kitchen parts, refrigerator interior parts, office automation equipment parts, as well as food packaging-related products, and single-layer, multi-layer, and coated plastic sheet products. Entertainment segment manufactures and sells entertainment-related products such as game packages.