Dongyang Mechatronics Corp. (KOSE:A013570) announced the spin-off of its oil pressure machine business on July 4, 2014. The oil pressure machine business will be established as a new entity known as DY Power Corporation after the spin-off new shares of the newly established company will be allocated to the existing shareholders Dongyang Mechatronics in the ratio of 0.3487005 shares of newly established company for 0.6512995 shares of Dongyang Mechatronics Corp.

The shares issued by the newly established company after spin off will be re-listed on the Korea Exchange Stock Market. As of March 31, 2014, the total assets of Spin-off Company will be KRW 186.213 trillion and total liabilities will be KRW 82.418 trillion. The transaction is subject to approval by the shareholders of Dongyang Mechatronics Corp.

The transaction was resolved by the Board of Directors of Dongyang Mechatronics Corp. on July 4, 2014. As of October 24, 2015, the transaction was approved by shareholders of Dongyang Mechatronics.

The scheduled spin-off date is December 1, 2014 and the scheduled date for spin-off registration is December 2, 2014. The schedule delivery date of new share certificates is January 14, 2015 and the scheduled listing date is January 15, 2015. The spin off date is December 1, 2014.