Samick Musical Instruments Co., Ltd. agreed to acquire 70% stake in Suwan Energy CO.,LTD. from Keangnam Enterprises Co., Ltd. for KRW 28 billion.
January 12, 2017
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Samick Musical Instruments Co., Ltd. (KOSE:A002450) signed a memorandum of understanding to acquire 70% stake in Suwan Energy CO.,LTD. from Keangnam Enterprises Co., Ltd. for KRW 28 billion on January 13, 2017. Samick Musical Instruments Co., Ltd. (KOSE:A002450) signed agreement to acquire 70% stake in Suwan Energy CO.,LTD. from Keangnam Enterprises Co., Ltd. for KRW 28 billion on January 24, 2017. Under the terms of the transaction, Samick Musical Instruments Co., Ltd. will acquire 4.2 million shares of Suwan Energy CO.,LTD in cash for KRW 2.4 billion and loan of Suwan Energy CO.,LTD. of KRW 68.5 billion for KRW 25.6 billion. Out of the consideration, 10% is payable on signing of memorandum of understanding and the balance on closing. The deal will be financed from retained funds. Post transaction Samick Musical Instruments Co., Ltd. will hold 70% stake in Suwan Energy CO.,LTD. The Board of Directors of Samick Musical Instruments Co., Ltd. resolved the deal on January 24, 2017. Seonjin Accounting Corporation acted as external rating institution name.
SAMICK MUSICAL INSTRUMENT Co., Ltd is a Korea-based company mainly engaged in the manufacture and sale of musical instruments. The Company mainly manufactures pianos, including acoustic pianos with grand and upright series, and digital pianos. It also produces other musical instruments, such as guitars, violins, bass amplifiers, cellos, flutes, trumpets, saxophones, clarinets, ocarinas, harmonicas, drums, mixers, amplifiers and others. In addition, the Company engages in the piano rental and real estate rental businesses. The Company distributes its products within domestic market and to overseas markets. On September 16, 2014, it acquired land and building located in Seoul, for rental business.
SAMICK MUSICAL INSTRUMENT CO., LTD 
