Nippon Steel & Sumitomo Metal Corporation (TSE:5401) (NSSMC) entered into a share exchange agreement to acquire remaining 49% stake in Nisshin Steel Co., Ltd. (TSE:5413) from a group of shareholders for ¥96 billion on May 16, 2018. NSSMC will issue 38.2 million shares and is subject to change 0.71 common shares of NSSMC will be allocated and delivered against one common share of Nisshin Steel. Prior to the effective date of the share exchange, common shares of Nisshin Steel will be delisted from the First Section of Tokyo Stock Exchange, Inc. on December 26, 2018. Upon the share exchange, Nisshin Steel will be a wholly owned subsidiary of NSSMC. As part of transaction NSSMC, Nisshin Steel and Nippon Steel & Sumikin Stainless Steel Corporation have agreed to integrate the stainless steel sheet business of each company around April 1, 2019. Board of Directors of NSSMC and Board of Nisshin Steel unanimously approved the transaction on May 16, 2018. Shareholders meeting of Nisshin Steel will be held around December 2018. As of November 2, 2018, meeting for shareholders of Nippon Steel & Sumitomo Metal Corporation is scheduled to take place on December 10, 2018. Nisshin Steel established a third party committee consisting of three members, namely, Yoshihide Hirowatari, Isao Endo, Tatsu Katayama. The transaction is expected to be completed by January 1, 2019. NSSMC appointed Nomura Securities Co., Ltd. and Nisshin Steel appointed Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. to be their respective third-party valuation organizations. Nishimura & Asahi acted as legal adviser for NSSMC and Nomura & Partners acted as legal adviser to Nisshin steel. Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. acted as financial advisor to Nisshin Steel Co., Ltd.

Nippon Steel & Sumitomo Metal Corporation (TSE:5401) (NSSMC) completed the acquisition of remaining 49% stake in Nisshin Steel Co., Ltd. (TSE:5413) from a group of shareholders on December 26, 2018. Nisshin Steel Co., Ltd. became wholly owned subsidiary of Nippon Steel & Sumitomo Metal Corporation.