Asmo Corporation concluded a share transfer contract to acquire Broad-minded Small Amount & Short Term Insurance Company from Broad-Minded Co.,Ltd. for ¥160 million.
January 22, 2013 at 11:00 pm
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Asmo Corporation (OSE:2654) concluded a share transfer contract to acquire Broad-minded Small Amount & Short Term Insurance Company from Broad-Minded Co.,Ltd. for ¥160 million on January 23, 2013. As per the terms of the deal, Asmo Corporation will acquire 0.02 million shares of Broad-minded Small Amount & Short Term Insurance Company for ¥10,000 per share. Asmo Corporation will use its own capital to fund the deal. Following the completion of the deal, Broad-minded Small Amount & Short Term Insurance Company will become a wholly owned subsidiary of Asmo Corporation.
Broad-minded Small Amount & Short Term Insurance Company reported total assets of ¥163.42 million, net assets of ¥41.71 million and net loss of ¥2.37 million for the year ending March 31, 2012. The deal requires the approval of Prime Minister based on regulations of small amount and short term insurance major shareholder in insurance business. The transaction was resolved by Board of Directors of Asmo Corporation on January 23, 2013. The deal is expected to close on March 31, 2013. As of April 4, 2013, Asmo changed the acquisition date of Broad-minded Small Amount & Short Term Insurance Company from March 31, 2013 to May 31, 2013. As of May 31, 2013, the transaction is expected to close on November 30, 2013. As of November 27, 2013, the expected closing date has been postponed to the end of December 2013. Yuichiro Fujita of Asano-Fujita Accountants Inc. acted as the valuer to Asmo Corporation. The advisory fee for the transaction is ¥3.9 million.
Broad Minded Co Ltd is mainly engaged in the financial partner business. The Company is engaged in supporting individual customers for asset formation and financial planning based on life planning, and also providing corporate customers with support for solving corporate management issues centered on financial and business risk countermeasures. In addition, the Company provides individual and corporate customers with sales and brokerage of financial products (life insurance, non-life insurance, securities, housing loans) and real estate (domestic real estate, overseas real estate).
Asmo Corporation concluded a share transfer contract to acquire Broad-minded Small Amount & Short Term Insurance Company from Broad-Minded Co.,Ltd. for ¥160 million.