LK Company Financial Stability PEF No. 3 agreed to acquire 84.56% stake in Hyundai Cement Co., Ltd. from a group of 32 sellers for approximately KRW 620 billion.
February 16, 2017
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Hanil Cement Co., Ltd. (KOSE:A003300) and LK Investment Partners agreed to acquire 84.56% stake in Hyundai Cement Co., Ltd. (KOSE:A006390) from a group of 32 sellers for KRW 650 billion on February 16, 2017. LK Investment Partners is leading the consortium. Creditors of Hyundai Cement aim to sign a stock transaction contract in March 2017 and finalize the deal in May 2017. As on March 31, 2017, Hanil Cement Co., Ltd. will acquire 64.38% stake through the acquisition of 10.8 million shares in Hyundai Cement Co., Ltd. for approximately KRW 480 billion. LK Investment Partners is not the buyer anymore. As reported on April 28, 2017, Hanil Cement Co., Ltd. signed a definitive agreement to acquire 84.56% stake in Hyundai Cement Co., Ltd. from group of 32 sellers for approximately KRW 630 billion. Hanil Cement will acquire the shares at an offer per share of KRW 44,262.
As on May 29, 2017, the deal value was revised to approximately KRW 620 billion and the agreement between Korea Development Bank, Investment Arm, Woolim Daebu Management LLC, Yangjae Complex Distribution Co., Ltd and Hanil Cement. Co., Ltd. was signed. Korea Development Bank, Investment Arm will sell 2.6 million shares, KB Kookmin Bank will sell 1.3 million shares, Woolim Daebu Management will sell 0.98 million shares, and Yangjae Complex Distribution Co., Ltd. will sell 0.99 million shares. As on July 13, 2017, Hanil Cement Co., Ltd. transferred the contract to acquire the stake in Hyundai Cement Co., Ltd. to LK Company Financial Stability PEF No. 3. Hanil Cement will participate in the management of Hyundai Cement through LK Company Financial Stability PEF No. 3. The Board of Hanil Cement resolved the amendment to the transaction on April 28, 2017. The transaction is expected to close in June 2017. As of May 29, 2017, the transaction is expected to close on July 18, 2017.
Korea Development Bank and Hana Financial Investment Co. Ltd. acted as financial advisors and Samil PricewaterhouseCoopers acted as an accountant to Hyundai Cement Co., Ltd. Kim & Chang acted as legal advisor in the transaction. Ernst & Young, Korea acted as accountant advisor for LK Company Financial Stability PEF No. 3. Ernst & Young Global Limited, Corporate Finance acted as financial advisor to LK Company Financial Stability PEF No. 3.
Woori Financial Group Inc. is a financial holding company. The Companyâs main subsidiary companies include Woori Bank, WOORI FIS Co., Ltd., Woori Finance Research Institute, woori credit Information co., Ltd., Woori Private Equity Asset Management Company, Ltd and WOORI FUND SERVICE LIMITED., among others. Woori Bank provides deposits, loans, funds, foreign exchange transactions, payment guarantees, securities investment, trust investment, and credit card services. WOORI FIS Co., Ltd. provides computer system installation and development, software development, telecommunication equipment supply and maintenance services. Woori Finance Research Institute conducts research activities on management strategies and the financial industry. woori credit Information co., Ltd. is engaged in credit investigation and collection of bonds. WOORI FUND SERVICE LIMITED. is engaged in private equity investment.
LK Company Financial Stability PEF No. 3 agreed to acquire 84.56% stake in Hyundai Cement Co., Ltd. from a group of 32 sellers for approximately KRW 620 billion.
WOORI FINANCIAL GROUP INC. 
