HELIOS TECHNO HOLDING CO., LTD. Helios Techno Holding Co., Ltd. (TSE:6927) entered into share exchange contract to acquire 35.22% stake in Kansai Giken Co., Ltd. for approximately ¥70 million in stock on May 10, 2013. Helios Techno Holding Co., Ltd. will issue 1,540 shares for each share of Kansai Giken Co., Ltd. Helios Techno Holding Co., Ltd. will issue 0.32 million treasury shares. In a related transaction, Helios Techno Holding Co., Ltd. entered into contract to acquire 64.78% stake in Kansai Giken Co., Ltd. from Masato Ishii, Shingo Ochi, Junichi Imai, employees and others for approximately ¥100 million in cash.
Helios Techno Holding Co., Ltd. will operate Kansai Giken Co., Ltd as wholly owned subsidiary after the completion of both transactions. During the year ending December 2012, Kansai Giken had net assets of ¥191.91 million, total assets of ¥294.13 million, net sales of ¥228.87 million, operating income of ¥5.91 million, ordinary income of ¥10.81 million, and net income of ¥2.77 million. Board of Directors made a resolution in favor of the transaction on May 10, 2013.
The share exchange does not require approval from Helios Techno Holding Co., Ltd.'s shareholders. The Kansai Giken's shareholders' meeting is scheduled for June 21, 2013. The transaction is expected to close on August 1, 2013.
