Huvis Corporation (KOSE:A079980) agreed to acquire 85.9% stake in Hankook Jungsoo Industries Co., Ltd. from Gyu-Chul Lee and KoFC KDBC-JKL Frontier Champ 2010-1 managed by KDB Capital Corporation, Investment Arm for approximately KRW 120 billion on October 24, 2014. Huvis shall take over 3.8 million shares of Hankook Jungsoo Industries. KDB shall sell 2.2 million shares representing 50% stake in Hankook Jungsoo Industries while Gyu-Chul Lee shall sell 1.6 million shares representing 35.9% stake in Hankook Jungsoo Industries. Huvis has paid 10% of consideration as initial payment, amounting to KRW 11.8 billion.

For the year ended December 31, 2013, Hankook Jungsoo reported total assets of KRW 84.73 billion, sales of KRW 109.99 million, EBIT of KRW 14.36 million and net profit of KRW 12.51 million. Due diligence and adjustment of stock acquisition transaction amount will take place on October 27, 2014 and the deal is expected to close on November 21, 2014. The payment will be made with Huvis' own funds and partially by issuance of corporate bonds and bank loans. Board of Directors of Huvis resolved for the transaction on October 24, 2014. As of November 20, 2016, the deal terms were revised and Huvis Corporation agreed to acquire 95.27% stake in Hankook Jungsoo Industries for approximately KRW 130 million. KPMG acted as financial advisor for Huvis.


Huvis Corporation (KOSE:A079980) completed the acquisition of 95.3% stake in Hankook Jungsoo Industries Co., Ltd. from Gyu-Chul Lee and KoFC KDBC-JKL Frontier Champ 2010-1 managed by KDB Capital Corporation, Investment Arm on November 21, 2014.