Taiyo Bussan Kaisha, Ltd. (JASDAQ:9941) announced a private placement of 1,548,000 common shares at a price of ¥97 per share for gross proceeds of ¥150,156,000 on July 1, 2016. The transaction will include participation from existing investors, Daito Koun Co., Ltd. for 774,000 shares and Yamate Reizo Co., Ltd. for 774,000 shares. The shares will be subscribed through third party allocation.

The transaction is expected to close on July 20, 2016. The company will pay ¥600,000 for registration expenses, ¥626,000 for planned recipient investigation costs, and ¥400,000 for other various expenses in the transaction. The company will receive net proceeds of ¥148,530,000 in the transaction.

Pursuant to the transaction; Daito Koun Co., Ltd. (JASDAQ:9367) and Yamate Reizo Co.,Ltd. will acquire 4.96% and 5.11% stake respectively in the company. Upon completion of the transaction; Daito Koun Co., Ltd. will hold 12.46% stake and Yamate Reizo Co., Ltd. will hold 11.27% stake in the company. The transaction has been approved by the board of directors of the company.