Tokuyama Corporation of Yamaguchi Prefecture transferred to Taiheiyo Cement the shares of its wholly owned subsidiary that had taken over the cement sales business, for consideration of ¥37 billion. Following completion of the transfer, the subsidiary changed its corporate name to "トクヤマ太平洋," and the company is reviewing the impact on future performance.
Tokuyama Corporation, based in Shunan City, transferred to Taiheiyo Cement the shares of its wholly owned subsidiary "トクヤマセメント株," which had taken over its domestic cement and solidifying-materials sales business. The consideration for the transfer was ¥37 billion, and the subsidiary changed its corporate name to "トクヤマ太平洋株式会社" on the same date. The share transfer was completed following the business transfer through an absorption-type company split.
In March, Tokuyama had announced its policy of transferring all shares to Taiheiyo Cement after transferring the cement sales business and shares in certain consolidated subsidiaries to Tokuyama Cement through an absorption-type company split. The company has now reported that the company split has taken effect and the share transfer has been completed.
In terms of the financial impact, Tokuyama is expected to record an approximately ¥30.5 billion gain on the transfer as extraordinary income and an approximately ¥12 billion impairment loss as an extraordinary loss in the consolidated accounting period for the third quarter of the fiscal year ending March 2027. The impact on its full-year earnings forecast is currently under review.
As a result of the transfer, the cement sales business will come under Taiheiyo Cement, and the business reorganization of the two companies is expected to proceed. Information on future business operations and post-integration policies remains forthcoming.