TOKYO, Mar 4, 2021 - (JCN Newswire) - Showa Denko K.K. (hereinafter referred to as the "Company") hereby announces that, as of today, the Company has entered into: (i) a basic agreement (hereinafter referred to as the "Basic Agreement") setting forth the application for 3,160,306 shares of SHOKO CO., LTD. (Code number 8090, listed on the First Section of Tokyo Stock Exchange; hereinafter referred to as "SHOKO"), the Company's consolidated subsidiary, among the shares of SHOKO owned by the Company, in a tender offer for the common shares issued by SHOKO (hereinafter referred to as the "SHOKO Shares"), that will commence on March 5, 2021, with such tender offer being made by SKT Holdings Ltd. (hereinafter referred to as "SKTHD"), a wholly-owned subsidiary of iSigma Business Advancement Fund III Investment LLP (hereinafter referred to as "iSigma Business Advancement Fund III") managed and operated by iSigma Capital Corporation (hereinafter referred to as "iSigma Capital"); and (ii) a shareholder agreement (hereinafter referred to as the "Shareholder Agreement") with iSigma Business Advancement Fund III that governs the handling of the SHOKO Shares owned by the Company and SKTHD.1. Reasoning Behind Applying for this Tender Offer
SHOKO was founded in May 1947 for the purpose of domestic sales and the import/export of chemicals and fertilizers. SHOKO Shares were listed on the Second Section of the Tokyo Stock Exchange, Inc. (hereinafter referred to as "TSE") in June 1962, and moved on to be listed on the TSE First Section in June 1981. SHOKO expanded its business and products over time, and is now handling various kinds of components and products as a general trading company dealing with chemicals, resins and metal ceramics, etc.
SHOKO considered the 2019-2021 period to be a stage for establishing a base of sustainable growth for the future in its mid-term management plan announced in 2018 in order to establish a stable revenue base for the existing business and realize sustainable growth in the mid- and long term. SHOKO developed Project Swing-by to promote reforms and is now working on three reforms; "business structural reform", "business management reform" and "human resource reform".
Meanwhile, the Company also aims to become a world-class, functional chemical manufacturer that can realize breakthroughs collectively with the Company's material technology in the midstream, Showa Denko Materials' application technology in the downstream, and the assessment and analysis technology of these two as the driving force of growth in electronics, mobility and life science as the Company showed in "The Long Term Vision of the Consolidated New Company (2021-2030) announced on December 10, 2020.
Full press release: http://www.acnnewswire.com/press-release/english/64931/