Soosan Heavy Industries Co.,Ltd. (KOSE:A017550) agreed to acquire remaining 28.28% stake in Soosan Service Co.,Ltd from Sukwon Industrial Co., Ltd. and Boyoon Jung for KRW 6.8 billion on April 19, 2016. The merger contract was signed on April 22, 2016. Soosan Heavy Industries will issue 3.6 million new shares by issuing one share for every 33.2624750 shares of Soosan Service. Soosan Heavy Industries Co.,Ltd. agreed to acquire Soosan Service for KRW 6.8 billion on May 12, 2016. As of May 12, 2016, the exchange ratio was amended to 1.0000000: 32.7584468. Soosan Heavy Industries will issue 1 share for every 32.76 share of Soosan Service. Soosan Heavy Industries will issue 3.54 million shares as consideration. As of May 23, 2016, the exchange ratio was amended to 1.0000000: 32.7523954. Soosan Heavy Industries will issue 3.53 million shares as consideration. After the transaction, Soosan Heavy Industries will be the surviving entity and Soosan Service will be dissolved. Soosan Service reported total assets of KRW 9.2 billion, total capital of KRW 5.5 billion, sales of KRW 8.9 billion and net profit of KRW 759.7 million. As of June 30, 2016, as the opposition against the merger with Soosan Service is less than 20%, the merger was approved by the Board of Directors of Soosan Heavy Industries which substituted the general meeting of shareholders. The transaction is expected to close by July 1, 2016. Dong-A Accounting Firm Co., Ltd. acted as external rating institution.

Soosan Heavy Industries Co.,Ltd. (KOSE:A017550) completed the acquisition of remaining 28.28% stake in Soosan Service Co.,Ltd from Sukwon Industrial Co., Ltd. and Boyoon Jung on August 1, 2016.