Maruko Co., Ltd. (TSE:9980) announced a private placement of 55,000,000 shares at ¥50 per share for gross proceeds of ¥2,750,000,000 on April 28, 2016. The company signed a capital and business tie-up contract with Kenkou Corporation, Inc. (SPSE:2928). Pursuant to the transaction, Kenkou Corporation, Inc. (SPSE:2928) will hold 63.18% stake in the company.

The company will incur issue costs of ¥55,000,000 which includes registration-related expenses, legal expenses, financial advisory fees, RIZAP shares value calculation expenses, securities registration statement document creation expenses, and other expenses. The company will receive net proceeds of ¥2,695,000,000. The transaction is expected to be completed by July 5, 2016.