Yageo Corporation (TWSE:2327) proposed to acquire remaining 88.5% stake in Chilisin Electronics Corp. (TWSE:2456) for TWD 26.5 billion on June 30, 2021. As reported, Chilisin shares will be acquired in a stock-swap transaction wherein each Chilisin share would be exchanged for 0.2002 shares of Yageo. The final share conversion ratio will be adjusted according to the share conversion contract of both parties. Yageo Corporation expects to issue 47.7 million new shares for the share swap deal. After the transaction, Chilisin will become a wholly-owned subsidiary of YAGEO and will be delisted and void its public issues. The transaction is subject to customary closing conditions and the receipt of required regulatory approvals, and the completion of the stock swap. The transaction has been unanimously approved by the Boards of Directors of both Yageo Corporation and Chilisin Electronics Corp. The two parties are expected to hold an extraordinary general meeting on September 7, 2021 to approve the proposal. The shareholders of Yageo Corporation approved the transaction. The transaction is expected to close on December 30, 2021. The effect of the share swap on net worth per share and earnings per share should be positive in the long run.

Yageo Corporation (TWSE:2327) completed the acquisition of remaining 88.5% stake in Chilisin Electronics Corp. (TWSE:2456) on December 28, 2021. The record date of the share swap and the listing date of the issued new shares will be January 5, 2022. Tie-Min Chen, as Chairman of CHILISIN Electronics Corporation, HWEI-JAN LEE as Vice Chairman of CHILISIN Electronics Corporation, YUAN-HO LAI as Vice Chairman of CHILISIN Electronics Corporation, David Wang as Representative of YAGEO Corporation will be appointed in new roles effective January 5, 2022. Fang-Yi Jen of Baker & McKenzie, Taipei acted as legal advisor to Yageo.