Showa Denko K.K. (SDK) to Merge Its Hard Disk Media Subsidiary in Japan.
SDK is currently producing, and selling, aluminum substrates for HD media at its Oyama Regional Office. SDK is also selling HD media produced by Showa Denko HD K.K. and conducting relevant R&D work.
Outside Japan, Showa Denko HD Malaysia Sdn. Bhd. and Showa Denko HD Trace Corporation, in Taiwan, are producing aluminum substrates, while Showa Denko HD Singapore Pte. Ltd. and Showa Denko HD Trace Corporation are producing HD media.
Demand for HD media is growing rapidly for consumer electronics applications that require large storage capacity, such as mobile music players and DVD recorders, in addition to demand for conventional PC applications.
In June 2005, SDK became the world's first to start commercial shipments of HD media based on the innovative perpendicular magnetic recording technology, enabling a drastic increase in the media capacity.
By integrating the substrate/media production in Japan through the merger of Showa Denko HD K.K., SDK will further establish its technological and marketing advantages. SDK will also enhance the efficiency of its HD media business through integration of the development, marketing and production functions.
In accordance with Clause 3, Article 796, of the Commercial Code, SDK will not refer the merger issue to its shareholders' meeting. Showa Denko HD K.K. will not refer the merger issue to its shareholders' meeting either, based on Clause 1, Article 784, of the Commercial Code.
The merger agreement was signed today. As a result of the merger, Showa Denko HD K.K. will be dissolved on November 1, and the merger registration will be made the following day. Since SDK now owns 100% of the shares in Showa Denko HD K.K., there will be no issuance or allocation of new shares.
For more information, please visit http://www.sdk.co.jp/aa/english/data/news/2006/614.pdf
About Showa Denko K.K.
Showa Denko K.K. ('SDK') (TSE: 4004; US: SHWDF) is a major manufacturer and marketer of chemical products serving a wide range of fields ranging from heavy industry to the electronic and computer industries. SDK makes petrochemicals (ethylene, propylene), aluminum products (ingots, rods) electronic equipment (hard disks for computers), and inorganic materials (ceramics, carbons). The company has overseas operations and a joint venture with Netherlands-based Montell and Nippon Petrochemicals to make and market polypropylenes. In March 2001, SDK merged with Showa Denko Aluminum Corporation to strengthen the high-value-added fabricated aluminum products operations, and is today developing next-generation optical communications-use wafers. For more information, please visit www.sdk.co.jp.
Source: Showa Denko K.K.
Showa Denko K.K. Nobuhiro Kato firstname.lastname@example.org +81-3-5470-3235
Copyright [c] 2006 JCN Newswire. All rights reserved. A division of Japan Corporate News Network K.K.
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|Date:||Sep 20, 2006|
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