Higashinihonhouse Co., Ltd. (JASDAQ:1873) concluded a share exchange contract to acquire remaining 3.24% stake in Ginga Kogen Beer Co. Ltd from Isao Nakamura, Hotel Higashi Nihon Co., Ltd, Amatake Co., Ltd, Mizuho Capital Co. Ltd., The Kita-Nippon Bank Ltd. (TSE:8551) and other shareholders for ¥3.1 million in stock on December 21, 2011. Higashinihonhouse will issue 6 shares for every share of Ginga Kogen Beer and 13,800 shares will be issued as consideration. Isao Nakamura will sell 0.42% stake, Hotel Higashi Nihon Co., Ltd. will sell 0.37% stake, Amatake Co., Ltd will sell 0.28% stake, Mizuho Capital Co. Ltd will sell 0.14% stake, The Kita-Nippon Bank, Ltd will sell 0.14% stake and another shareholder will sell 0.14% stake. After the transaction, Ginga Kogen Beer Co., Ltd will operate as a wholly owned subsidiary of Higashi Nihon House Co., Ltd.

Ginga Kogen Beer reported net liabilities of ¥144 million, total assets of ¥1.09 billion, sales of ¥987 million, operating profit of ¥69 million, current profit of ¥43 million and net income of ¥41 million for the year ending October 2011. The Board of Directors of Higashi Nihon House Co., Ltd. and Ginga Kogen Beer Co. Ltd passed a resolution for the transaction on December 21, 2011. A meeting of shareholders of Higashi Nihon House will be held on January 26, 2012 and regular shareholders' meeting of Ginga Kogen Beer will be held on January 27, 2012 to approve the share exchange contract. The transaction is expected to be completed by January 28, 2012. The transaction will have a negligible impact on performance of Higashinihonhouse. Trust Support, Inc. acted as consultant in the transaction.

Higashinihonhouse Co., Ltd. (JASDAQ:1873) cancelled the acquisition of remaining 3.24% stake in Ginga Kogen Beer Co. Ltd from Isao Nakamura, Hotel Higashi Nihon Co., Ltd, Amatake Co., Ltd, Mizuho Capital Co. Ltd., The Kita-Nippon Bank Ltd. (TSE:8551) and other shareholders on December 21, 2012.