Z Holdings Corporation (TSE:4689) entered into a share exchange agreement to acquire LINE Demerger Preparatory Company from LINE Corporation (TSE:3938) for approximately ¥120 billion on December 23, 2019. Z Holdings Corporation executed an amendment agreement to acquire LINE Demerger Preparatory Company from LINE Corporation on January 31, 2020. As a part of consideration, Z Holdings Corporation will issue 11.75 shares for every share of LINE Demerger Preparatory Company. Post transaction, LINE Demerger Preparatory Company will be wholly owned by Z Holdings Corporation. LINE Demerger Preparatory Company reported total assets of ¥208.5 billion, revenue of ¥207.2 billion, operating profit of ¥16.1 billion, Profit before taxes of ¥3.4 billion and net profit of ¥3.7 billion for the year ended December 31, 2018.

General meeting of shareholders of LINE Corporation for approval of the Share Exchange agreement will be held on March 17, 2020. Effective date for Share Exchange is October 1, 2020. As per the amended agreement, effective date for Share Exchange is March 1, 2021. JPMorgan Chase & Co. acted as financial advisor to LINE Corporation. Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. acted as financial advisor to Z Holding Corporation.

Z Holdings Corporation (TSE:4689) completed the acquisition of LINE Demerger Preparatory Company from A Holdings Corporation on March 1, 2021.