Huchems Fine Chemical Corp. and Jeong San Co., Ltd. signed an agreement to acquire an unknown majority stake in Ylem Technology Holdings, Inc. from Aikang Remetech Co.,Ltd. for KRW 29.9 billion.
August 07, 2012 at 12:00 am EDT
Share
Huchems Fine Chemical Corp. (KOSE:A069260) and Jeong San Co., Ltd. signed an agreement to acquire an unknown majority stake in Ylem Technology Holdings, Inc. from Aikang Remetech Co.,Ltd. (KOSE:A022220) for KRW 29.9 billion on August 7, 2012. Huchems Fine Chemical Corp. paid the deposit of KRW 8.97 billion on August 7, 2012 and the remaining of KRW 20.93 billion will be paid on transaction closing date. Under the terms of the transaction, Huchems Fine Chemical will acquire 1.78 million preferred stock, 0.35 million common stock and bonds of Ylem Technology. Huchems Fine Chemical will acquire 0.21 million common shares at KRW 2.55 billion, 1.05 million convertible preference shares to be converted into 1 common share for KRW 12.75 billion, 0.02 million convertible preference shares to be converted into 5.5 common shares for KRW 1.09 billion and convertible bonds for KRW 2.57 billion. Jeong San Co., Ltd will acquire 0.14 million common for KRW 1.7 billion, 0.7 million convertible preference shares to be converted into 1 common shares for KRW 8.5 billion and 0.01 million convertible preference shares to be converted into 5.5 common shares for KRW 728.79 million.
Ylem Technology Holdings reported sales of KRW 21.22 billion, EBIT of KRW 4.2 billion, net loss of KRW 691.82 million, total assets of KRW 26.44 billion, total borrowings of KRW 19.06 billion and total stockholder equity of KRW 5.65 billion for the year ending December 31, 2011. On August 7, 2012, the Board of Aikang Remetech resolved to execute the transaction.
TKG Aikang Co Ltd, formerly JEONGSAN AIKANG CO LTD, is a Korea-based company engaged in the manufacture and sale of pipes and other components. The Company is engaged in the production and sale of polybutylene (PB) pipes and fittings, chlornated polyvinyl chloride (CPVC) pipes and fittings, brass fittings, manifold fittings, double pipe sockets, pipe inserters, water hammer absorbers and other products. In addition, the Company is engaged in the production and sale of water-headers, tap plates and other products.
Huchems Fine Chemical Corp. and Jeong San Co., Ltd. signed an agreement to acquire an unknown majority stake in Ylem Technology Holdings, Inc. from Aikang Remetech Co.,Ltd. for KRW 29.9 billion.