TAE KWANG CORPORATION consortium signs a final agreement on the 21st to acquire 63.13% equity of AK Holdings and Aekyung Industrial for about 470 billion won. /Courtesy of News1

Taekwang Industrial will sign the definitive agreement to acquire Aekyung Industrial on the 21st.

Taekwang Group and AK Holdings said on the 20th that they each held a board meeting and passed agenda items related to the acquisition and sale of Aekyung Industrial.

A Taekwang consortium composed of Taekwang Industrial, T2 Private Equity (PE), and Yuanta Investment will acquire 11,904,812 common shares of Aekyung Industrial and 4,767,766 common shares of Aekyung Industrial owned by affiliate Aekyung Asset Management, for a total of 63.13% equity in Aekyung Industrial. The transaction price is 469.99997 billion won.

Taekwang Industrial will invest 235 billion won to acquire 31.56% equity. The scheduled acquisition date is Feb. 19 next year.

Regarding the purpose of the share acquisition, Taekwang Industrial said it is to secure a new growth engine through entry into the "K-beauty" industry.

Regarding the purpose of the share disposal, AK Holdings said it is for "improving the financial structure and reorganizing the business portfolio."

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