Dai-ichi Kogyo Seikyaku to sell stake in Teepol.
Dai-ichi Kogyo Seiyaku Co., a surfactant maker in Kyoto, said Thursday it will sell its 50% stake in Teepol Ltd., its joint venture with Shell Japan Ltd., to Johnson Wax Professional Co. for 6.1 billion yen.
Dai-ichi said it will sell its 250,000 Teepol shares in two installments -- March 17 and April 7 -- as part of its efforts to reinforce its financial standing.
The book value of the 250,000 shares is 150 million yen, Dai-ichi said.
It said that with the proceeds of the share sale as well as extraordinary losses from liquidation of unprofitable assets, it expects a consolidated net profit of 430 million yen for fiscal 1999 ending March 31, up from 180 million yen in the initial forecast for last November.
On an unconsolidated basis, Dai-ichi expects a net profit of 660 million yen, up from 250 million yen.
Teepol, a Tokyo-based maker of industrial detergents, is owned equally by Dai-ichi and Shell Japan.
Johnson Wax Professional is a Yokohama-based company belonging to CS Johnson of the United States.
Shell Japan also plans to sell its 50% stake in Teepol to Johnson Wax Professional, Dai-ichi said.
|Printer friendly Cite/link Email Feedback|
|Comment:||Dai-ichi Kogyo Seikyaku to sell stake in Teepol.|
|Publication:||Japan Weekly Monitor|
|Date:||Mar 13, 2000|
|Previous Article:||Top firms may boost sales and profits from FY 2000.|
|Next Article:||Japan, U.S. to meet for follow-up talks on insurance accord.|