Kyocera Corporation completed the acquisition of 80% of power tool business, 79.92% of Ryobi Sales Co. Ltd. and 53.28% Of Ryobi Dalian Machinery Co., Ltd. from Ryobi Limited for ¥10.5 billion.
January 10, 2018
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Kyocera Corporation (TSE:6971) signed a basic agreement to acquire 80% of power tool business, 79.92% of Ryobi Sales Co. Ltd. and 53.28% Of Ryobi Dalian Machinery Co., Ltd. from Ryobi Limited (TSE:5851) on September 29, 2017. Under the terms of the deal, Ryobi Limited will transfer power tool business as well as 99.9% stake in Ryobi Sales Co. Ltd. and 66.6% stake in Ryobi Dalian Machinery Co., Ltd. to a newly established company which will issue shares to Ryobi Limited. Ryobi Limited will then sell 80% stake in that newly established company to Kyocera under a split plan. Kyocera Corporation (TSE:6971) signed a share transfer agreement to acquire 80% of power tool business, 79.92% of Ryobi Sales Co. Ltd. and 53.28% Of Ryobi Dalian Machinery Co., Ltd. from Ryobi Limited (TSE:5851) on October 31, 2017. As on September 29, 2017, the Board of Directors of Ryobi Limited passed a resolution on the approval of the agreement and transaction is subject to approval from European Commission. The Board of Directors resolution on the approval of the split plan is planned to be in October 2017. Transaction has been approved by the Board of Ryobi Limited on October 31, 2017. The split is planned to be effective as of January 2018. The share transfer agreement is also planned to be concluded in October 2017 with a planned implementation date of January 2018. On October 31, 2017, it was announced that the share transfer execution date is January 5, 2018. Effective date of Ryobi Limited split is January 10, 2018.
Kyocera Corporation (TSE:6971) completed the acquisition of 80% of power tool business, 79.92% of Ryobi Sales Co. Ltd. and 53.28% Of Ryobi Dalian Machinery Co., Ltd. from Ryobi Limited (TSE:5851) for ¥10.5 billion on January 10, 2018. The new entity will be known as Kyocera Industrial Tools Corporation where Kyocera Corporation will hold 80% and Ryobi Limited will hold 20% stake. Under the terms of agreement, consideration was paid in cash.
Kyocera Corporation specializes in the development manufacturing and marketing of electronic components. The group also sells communication, document management, medical and energy systems and equipments. Net sales break down by family of products as follows:
- printing and document management equipments and systems (19.9%);
- electronic components and devices (18.4%) : capacitors, crystal devices, clock oscillators, resonators, connectors, etc.;
- semiconductor components (17.8%);
- communication equipments and systems (14.3%): telecommunications terminals (smartphones, tablets), connectivity devices, telecommunications infrastructure, etc.;
- industrial tools (13.7%);
- automotive and industrial components (10.9%): fine ceramic products (mainly for the manufacture of automotive equipment), liquid crystal displays, optical components, camera modules, etc.;
- other (5%).
Net sales break down geographically as follows: Japan (33.4%), Asia (26.4%), the United States (18.6%), Europe (18.4%) and other (3.2%).
Kyocera Corporation completed the acquisition of 80% of power tool business, 79.92% of Ryobi Sales Co. Ltd. and 53.28% Of Ryobi Dalian Machinery Co., Ltd. from Ryobi Limited for ¥10.5 billion.
KYOCERA CORPORATION 
