Tokai Carbon Co., Ltd. (TSE:5301) executed a share purchase agreement to acquire an additional 9% stake in TOKAI CARBON KOREA Co., Ltd. (KOSDAQ:A064760) from KC Co., Ltd. (KOSE:A029460) for KRW 77 billion on May 14, 2018. Under the terms of the agreement signed between the parties, a total of 1.05 million shares will be acquired at KRW 73,297 per share. After the transaction, Tokai Carbon Co., Ltd. will hold 44.4% stake in TOKAI CARBON KOREA and it will become a consolidated subsidiary of Tokai Carbon Co., Ltd., based on effective control criteria.

Tokai Carbon Co., Ltd. will finance the consideration using own funds. The Board of Directors of Tokai Carbon Co., Ltd resolved in favor of the transaction on May 14, 2018. The transaction is expected to close on May 28, 2018.

Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. acted as financial advisor to Tokai Carbon Co., Ltd.