An unknown buyer agreed to acquire unknown stake in Qinhuangdao Castec Industrial Co., Ltd. from Castec Korea Co.,Ltd for KRW 13.2 billion.
June 18, 2020
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An unknown buyer agreed to acquire unknown stake in Qinhuangdao Castec Industrial Co., Ltd. from Castec Korea Co.,Ltd (KOSDAQ:A071850) for KRW 13.2 billion on June 19, 2020. Out of KRW 13.2 billion, CNY 50 million (KRW 8.6 billion) was the fixed component and variable component was KRW 4.7 billion. CNY 5 million (KRW 854.1 million) was paid on the contract date, CNY 15 million (KRW 2.5 billion) will be paid Immediately upon completion of application for registration of fancy change and CNY 30 million (KRW 5.1 billion) will be paid on the day a new business license is issued after registration is completed. Variable component will be remitted within three business days from the date of the foreign exchange notification. As reported on September 29, 2020, there is some change in the payment schedule. CNY 5 million (KRW 854.1 million) was paid on the contract date, CNY 15 million (KRW 2.5 billion) will be paid Immediately upon completion of application for registration of fancy change, CNY 10 million (KRW 1.7 billion) will be paid on the day a new business license is issued after registration is completed and CNY 20 million (KRW 3.4 billion) is to be deposited when depositing a variable amount. Variable component will be remitted within three business days from the date of the foreign exchange notification. The expected date of sales is the expected remittance date of the variable amount agreed upon in the transfer of equity agreement and may be changed by agreement between the parties. As on November 16, 2020, there is some change in the payment schedule. The amount of CNY 30 million (KRW 5.13 billion) will be transferred within 15 business days after signing the contract and Immediately after repayment of unpaid trade debts to Qinhuangdao Guotai Industrial Co., Ltd. of Suzhou Guatai Technology Co., Ltd., the remaining final trading amount is remitted to our account by CNY 20 million (KRW 3.4 billion) will be transferred. The transaction is expected to close on September 29, 2020. As reported on September 29, 2020, the transaction is expected to close on December 31, 2020.
CASTEC KOREA CO.,LTD is a Korea-based company principally engaged in the manufacture and distribution of automobile parts. The Companyâs products portfolio consists of turbo charger system parts, such as turbine housings and center housings, air conditioner compressor parts, electrical parts, such as scroll and rotary parts, cylinders, main bearings, cranks shafts and others, automotive parts, pump and motor parts, as well as other automobile parts, such as braking disks, caliper housing, knuckles and others. It distributes its products within domestic market and to overseas markets.
CASTEC KOREA CO.,LTD 
