Shinko Wire Company, Ltd. cancelled the acquisition of remaining 42.1% stake in Tesac Wirerope Co., Ltd from Kobe Steel, Ltd..
September 27, 2018
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Shinko Wire Company, Ltd. (TSE:5660) concluded the merger contract to acquire remaining 42.1% stake in Tesac Wirerope Co., Ltd from Kobe Steel, Ltd. (TSE:5406) for ¥12.8 billion on September 28, 2017. Under the terms of the transaction, Shinko Wire Company will allot its 1108 shares for each share of Tesac Wirerope. A total of 7.1 million shares will be issued as consideration. Shinko Wire Company, Ltd. will issue 6.67 million treasury shares and 0.43 million new shares. Post transaction, Tesac Wirerope Co., Ltd will be absorbed and merged by Shinko Wire Company, Ltd. Shinko Wire Company, Ltd will be the surviving entity. Kobe Steel, Ltd will hold 43.6% stake in Shinko Wire Company, Ltd. The transaction is subject to approval by shareholders of Tesac Wirerope at a meeting to be held on November 21, 2017. The transaction is resolved by the Board of Shinko Wire Company and Kobe Steel on September 28, 2017. The transaction is expected to complete on April 1, 2018.
Shinko Wire Company, Ltd. (TSE:5660) cancelled the acquisition of remaining 42.1% stake in Tesac Wirerope Co., Ltd from Kobe Steel, Ltd. (TSE:5406) on September 28, 2018.
Kobelco Wire Co Ltd, formerly Shinko Wire Co Ltd, is a Japan-based company mainly engaged in the special wire related business, steel cable related business, and engineering related business. The Company has three business segments. The Special Steel Wire Related segment is engaged in the manufacture and sale of prestressed concrete (PC) related products such as PC steel wires, PC steel stranded wires, cable processed products and related components, as well as special wire related products such as spring steel wires, plated steel wires, stainless steel wires and special metal wires. The Steel Cable Related segment is engaged in the manufacture and sale of general ropes, special ropes, steel strands, stainless steel ropes and other wire rope products. The Engineering Related segment is engaged in the manufacture and sale of erection and tension components and equipment, tertiary processed wire products and other products. The Company is also engaged in the real estate leasing business.