Hotel LOTTE Co,.ltd, Lotte Insurance Co., Ltd. (KOSE:A000400), Hotel Lotte Pusan Co., Ltd., Lotte Home Shopping Inc., LOTTE Himart Co.,Ltd. (KOSE:A071840) and other investors made a bid to acquire KT Rental Co., Ltd. from group of sellers for KRW 1 trillion on February 18, 2015. Lotte Group has been selected as the preferred bidder. As of March 11, 2015, Lotte Group signed a contract to acquire 9.8 million shares for KRW 1.02 trillion in the transaction. KT Corp. will sell 5.7 million shares. The group of sellers includes KT Corp. (KOSE:A030200), Kyobo Life Insurance Co., Ltd., Korea Investment & Securities Co., Ltd., Investment Arm, Hyundai Marine & Fire Insurance Co. Ltd. (KOSE:A001450), Hana Daetoo Securities Co., Ltd., Investment Arm, Hyundai Life Insurance Co., Ltd. and KDB Capital Corp. Lotte will guarantee the employment of KT Rental employees.

As of April 28, 2015, Lotte Insurance Co., Ltd. (KOSE:A000400) and LOTTE Himart Co.,Ltd. (KOSE:A071840) as well were assigned to acquire 9.8% stake in kt Rental Co., Ltd. for KRW 100 billion. Lotte Insurance and LOTTE Himart will acquire 0.48 million shares for KRW 50 billion each. As of May 6, 2015, LOTTE HOTEL BUSAN Co., Ltd will acquire 1.06 million shares of kt Rental for KRW 110 billion. As of May 6, 2015, Woori Home Shopping Co., Ltd. agreed to acquire 8.63% stake in KT Rental Co., Ltd. for KRW 88 billion. Woori Home Shopping will acquire 0.85 million shares. As of May 6, 2015, Hotel LOTTE Co,.ltd. will now acquire 70.77% stake for KRW 721.88 billion. Hotel LOTTE Co,.ltd. will acquire 6.95 million shares. As on May 28, 2015, KT Corp revises transaction amount of selling entire 5.7 million shares in KT Rental to KRW 763.1 billion from KRW 772.1 billion. As of May 29, 2015, Hotel LOTTE is acquiring 2.04 million shares amounting to 20.77% stake for KRW 210.04 billion. The other investors will acquire 4.9 million shares.

Board of Directors of KT Corp. made a resolution in favor of the transaction on March 11, 2015. The transaction is expected to close on May 31, 2015. As of April 28, 2015, the transaction is expected to complete in May-June 2015 and may change according to Fair Trade Commission approval. As on May 28, 2015, the transaction is expected to close on June 3, 2015. As on June 3, 2015, KT Corp. sold approximately 58% stake in kt Rental Co., Ltd. The proceeds from the transaction will be used to ease the financial burden of KT Corp. Credit Suisse Group AG acted as financial advisor for KT Rental Co., Ltd. Lee & Ko acted as legal advisor for Hotel LOTTE. Yulchon LLC acted as legal advisor for an investor group led by KT Corp. Deutsche Bank AG acted as financial advisor to LOTTE. PricewaterhouseCoopers acted as accountant to Hotel LOTTE.

Hotel LOTTE Co,.ltd, Lotte Insurance Co., Ltd. (KOSE:A000400), Hotel Lotte Pusan Co., Ltd., Lotte Home Shopping Inc., LOTTE Himart Co.,Ltd. (KOSE:A071840) and other investors completed the acquisition of KT Rental Co., Ltd. from group of sellers on June 3, 2015.