Lion Corp. to attain 100% ownership of its subsidiary Lion Daily Necessities Chemicals, based on a resolution made by board of directors
November 30, 2011
– Based on a resolution of the Board of Directors made at a meeting held today, Lion Corporation (Head Office: Tokyo, President: Sadayoshi Fujishige, hereinafter “Lion”) announces its decision to attain 100% ownership of its subsidiary, Lion Daily Necessities Chemicals (Qingdao) Co., Ltd. (hereinafter “Qingdao Lion”).
1. Reason for the Share Purchase
Lion commenced its overseas business operations in the 1950s. Today, Lion’s overseas business operations centering on the oral care and laundry detergent fields have grown to encompass eight countries and regions* in Asia. Lion has positioned the “quantitative expansion of overseas businesses” as an important strategy in its newly formulated management vision “Vision 2020.”
Qingdao Lion is a consolidated subsidiary of Lion (in which Lion holds a 95% equity interest) that manufactures and sells toothpaste, toothbrushes and other products in China. Lion has decided to attain 100% ownership of Qingdao Lion by acquiring the remaining 5% investment equity from Kyoeishoji Co., Ltd., which has been an investor since Qingdao Lion’s establishment. Leveraging this 100% ownership, Lion plans to increase the speed of Qingdao Lion’s decision making and thus accelerate the growth strategies of its Chinese business operations.
*Thailand, South Korea, Singapore, China, Hong Kong, Taiwan, Malaysia, Indonesia
2. Investment Status before and after Share Acquisition
Investment equity before the share acquisition: 95%
Investment equity after the share acquisition: 100%
3. Corporate Overview
■ Overview of Qingdao Lion
Company name: Lion Daily Necessities Chemicals (Qingdao) Co., Ltd.
Representative: Chairman Kenjiro Kobayashi
Business content: Manufacture, sale and export of toothpaste and toothbrushes, etc.
■ Overview of Kyoeishoji Co., Ltd.
Company name: Kyoeishoji Co., Ltd.
Representative: President Izumi Tabuchi
Business content: Import and export of salt, food products, chemicals and industrial materials, etc.