The Board of Hyosung Corporation (KOSE:A004800) resolved to spin-off Heavy Industry and Construction Business Division on January 3, 2018. The shareholders of Hyosung Corporation will be allocated the shares of the newly established companies in proportion to their ownership percentage. Heavy Industry and Construction Business Division will be renamed as Hyosung Heavy Industries. Hyosung Corporation will spin-off 0.2655246 share of Hyosung Heavy Industries for every share of Hyosung Corporation. Hyosung Corporation after the spin-off will operate the business division for the purpose of managing equity of subsidiaries and investing. The record date for new shares allotment is May 31, 2018. In related transactions, Hyosung Corporation resolved to spin-off textile & trading business division, industrial materials business division and chemical business division.

After the spin-off, the issued shares of the new spun-off company will be re-listed upon passing the re-listing examination according to the KOSPI Market Listing Regulation of the Korea Exchange, and the issued shares of the distributing company will be change listed. The transaction is subject to approval of shareholders of Hyosung Corporation at a general meeting to be held on April 27, 2018. On April 27, 2018, the general meeting of the shareholders of Hyosung Corp. approved the transaction. The new shares are expected to list on July 13, 2018. The spin-off is expected to complete on June 1, 2018.