Shinwa Art Auction Co., Ltd. announced that it expects to receive ¥112.86 million in funding
October 27, 2016
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Shinwa Art Auction Co., Ltd. (JASDAQ:2437) announced that it has entered into agreement for a private placement of 330,000 common shares at ¥342 per share for gross proceeds of ¥112,860,000 on October 28, 2016. The shares will be issued to new investor Elite Fame Investments Limited through thirds party allocation method. Pursuant to the transaction, the investor shall hold 5.44% stake in the company. The transaction is expected to be closed by November 14, 2016. The company will receive net proceeds of ¥108,360,000 in the transaction. The company will incur legal expenses of ¥2,000,000, registration-related expenses of ¥900,000, and ¥1,600,000 for other expenses which includes clerical fees and outsourced inspection expenses. The transaction has been approved by board of directors of the company.
Shinwa Wise Holdings Co Ltd is a Japan-based company mainly engaged in auction related business and energy related business. It has two business segments. Art related segment is divided into auction business and private sale and other business. Auction business holds modern art auctions, modern ceramic art auctions and modern art Part II auctions according to the works and price ranges handled. It also holds auctions of postwar and contemporary art, Western art, wine and liquor, MANGA, brand miscellaneous goods, watches, jewelry and others. Private sales and other businesses mainly involve in private sales of asset defense diamonds as well as paintings, which are negotiated transactions other than auctions. The Other Business segment is engaged in the electricity sales business of solar power generation facilities. In Malaysia, the Company is also engaged in the sales business of palm kernel shells (PKS), which are used as fuel for biomass power generation.
SHINWA WISE HOLDINGS CO.,LTD. 
