 |
 |
| September 25, 2009 |
|
| September 18, 2009 |
| Mitsubishi Rayon Co., Ltd. |
|
|
Mitsubishi Rayon’s two China-based subsidiaries to merge |
|
|
On September 9, Mitsubishi Rayon received approval from the Chinese government of Jiangsu Province for the merger of its consolidated subsidiaries Nantong Rayon Chemical Co., Ltd. (NRC) and Mitsubishi Rayon Polymer Nantong Co., Ltd. (MRPN), both located in the province. The Company expects to receive a business license for the new entity from the Nantong Administration for Industry & Commerce on September 30. |
|
|
| 1. Merger Objective |
| NRC and MRPN, our leading companies for the production and sale of acrylic polymers in China, have been operating steadily since the commencement of activities. Production in China of PMMA (polymethyl methacrylate) pellets, acrylic sheets and acrylic coating resins has enabled us to expand the growth of the Mitsubishi Rayon Group’s MMA business chain. The current merger will integrate the operations of the two companies, which are located in the same industrial park and share the same raw materials, with the aim of further raising operational efficiency. |
|
|
| |
| 2. Merger Details |
| 1) Merger schedule |
| |
Merger approval date: September 9, 2009
Planned merger date: September 30, 2009 |
|
| 2) Merger format |
| |
The operations of NRC will be absorbed into MRPN, with MRPN to be the surviving entity. Regarding NRC, we will begin the registration of liquidation procedures from October 2009, and plan to finish the registration process by the end of 2009. |
|
| 3) Impact on Performance Results |
| |
As a merger of two consolidated subsidiaries, it is expected to have a minimal impact on the Group’s consolidated financial results. |
|
|
| Reference |
|
| Overview of Merging Companies* |
|
| Name |
Mitsubishi Rayon Polymer Nantong Co., Ltd.
(Surviving entity) |
Nantong Rayon Chemical Co., Ltd.
(Company to be liquidated) |
| Representative |
Ryoichi Yokoyama |
Ryoichi Yokoyama |
| Address |
No. 6 Guangzhou Road, Nantong Economic & Technological Development Area, Jiangsu Province, 226009, China |
No. 1 Guangzhou Road, Nantong Economic & Technological Development Area, Jiangsu Province, 226009, China |
| Business description |
Production and sale of PMMA sheets and acrylic coating resins |
Production and sale of PMMA pellets |
| Date of establishment |
December 2002 |
September 2001 |
| Settlement Period |
December |
December |
| Paid-in capital |
US$27,500,000 |
US$20,730,000 |
| Major shareholders and equity stakes |
Mitsubishi Rayon Co., Ltd.(100%) |
Mitsubishi Rayon Co., Ltd.(80%)
Marubeni Corporation (20%) |
|
| *As of December 31, 2008 |
|
|
2. Overview of the Surviving Entity |
|
| Name |
Mitsubishi Rayon Polymer Nantong Co., Ltd. |
| Representative |
Ryoichi Yokoyama |
| Address |
No. 6 Guangzhou Road, Nantong Economic & Technological Development Area, Jiangsu Province, 226009, China |
| Business description |
Production and sale of PMMA pellets and sheets, and acrylic coating resins |
| Settlement Period |
December |
| Paid-in capital |
US$48,230,000 |
| Number of employees |
Approximately 180 |
| Major shareholders and equity stakes |
Mitsubishi Rayon Co., Ltd.(91.4%)
Marubeni Corporation (8.6%) |
|
| **Assuming a planned merger on September 30, 2009 |
|
|
|
| For further inquiries, please contact: |
| Public and Investor Relations Office |
 |
|
|
