Mitsubishi Materials Corporation (hereinafter "MMC") has decided today to sell a portion of shares owned in SUMCO Corporation (hereinafter "SUMCO"), an equity method affiliate of MMC, by block trading through a securities company. As a result of this sale, MMC will exclude SUMCO from the scope of its equity method affiliates effective as of the last day of the fiscal year ending March 31, 2017.
MMC is focusing on executing strategic investments and financial improvements to embody sustainable growth based on its policy of fortifying the foundation for growth, positioned as one of the growth strategies of the MMC Group. MMC has concluded that the sale of the shares agrees with the long-term management policy for the entire Group, comprehensively taking into account factors such as its current financial condition and future business expansion. Consequently, based on consultations with Nippon Steel & Sumitomo Metal Corporation (hereinafter "NSSMC"), MMC and NSSMC have decided to sell the portion of shares (the same number of shares for each of them) in SUMCO held by each of them.
|(1) Number of owned shares before the sale||53,933,200 shares (stock ownership ratio at 18.39%)|
|(2) Number of shares scheduled for sale||14,586,800 shares (stock ownership ratio at 4.97%)|
|(3) Number of owned shares after the sale||39,346,400 shares (stock ownership ratio at 13.42%)|
*The stock ownership ratios stated above are calculated on the basis
of the total number of outstanding shares of SUMCO as of December
31, 2016 (293,285,539 shares).
|(1) Execution of share sale and purchase agreement||February 10, 2017 (scheduled)|
|(2) Delivery of the shares||February 15, 2017 (scheduled)|