Riken Corporation (TSE:6462) entered into basic agreement to acquire Nippon Piston Ring Co., Ltd. (TSE:6461) from a group of shareholders on July 27, 2022. Riken Corporation signed a consolidation agreement to acquire Nippon Piston Ring Co., Ltd. from a group of shareholders for ¥10.4 billion on May 23, 2023. As per the transaction, the companies will form a joint holding company formed by means of mutual stock transfer and to consolidate the two companies on equal terms. As per the transaction, for each share of common stock of Riken, 2 shares of common stock of the Joint Holding Company will be allotted and granted, and for each share of common stock of NPR, 1.02 shares of common stock of the Joint Holding Company will be allotted and granted. As per the transaction, the two companies will establish a Consolidation Preparation Committee which will focus on discussions related to the Consolidation to facilitate the smooth conclusion of the Consolidation.

The transaction is subject to review by the Japan Fair Trade Commission and shareholders approval of Riken Corporation and Nippon Piston Ring Co., Ltd. The transaction is expected to close on April 3, 2023. The transaction is expected to close on October 2, 2023. City-Yuwa Partners acted as legal advisor to Riken Corporation and Marunouchi Sogo Law Office acted as legal advisor to Nippon Piston Ring Co., Ltd.

Riken Corporation (TSE:6462) completed the acquisition of Nippon Piston Ring Co., Ltd. (TSE:6461) from a group of shareholders on October 2, 2023.