Nichii Gakkan Purchase of Gaba
In 2011 Nichii Gakkan purchased Gaba from Daiwa Securities and other shareholders. The acquisition price was 10,100,000,000 yen. The goodwill was 8,000,000,000 and the amortization period was 11 years, with the debt to be paid off at approximately 800,000,000 per year.
The finance for the deal was provided by loans from Tokyo-Mitsubishi UFJ bank.
Gaba become a wholly owned subsidiary by a share exchange on December 5, 2011.
Nichii Gakkan expected Gaba to begin contributing to business results from the second half of fiscal year 2012, with net sales of 4,300,000,000 and an operating income of 400,000,000.
Read more about this topic: Gaba Corporation
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