Resonac Transfers Surface Protection Film Business

November 18, 2024
Resonac Holdings Corporation

Resonac Corporation (President: Hidehito Takahashi, hereinafter "Resonac") entered into an agreement with Sun A. Kaken Company, Limited (President: Takeshi Sakurada, hereinafter "Sun A. Kaken") on August 7, 2024, to transfer its surface protection film business (hereinafter "the Business") to Sun A. Kaken. The closing of this transaction (hereinafter "the Transfer") was executed on November 15, 2024. Going forward, Resonac will successively transfer the relevant contracts of the Business to Sun A. Kaken. Details are as follows:

 

1. Background and Purpose of the Consideration

Resonac commenced operations of the surface protection film business in 1967 during the era of the former Hitachi Chemical Co., Ltd., and has since developed, selected, and proposed protective films for various applications such as semiconductor lead frame plating protection, in response to customers’ needs. However, the protective film industry is currently in a mature market phase, and due to recent macroeconomic conditions, rising raw material prices, and energy costs, it has become challenging to foresee significant future growth or synergy with other businesses within the Resonac Group.

As indicated in the Resonac Group's "Long-term Vision for Newly Integrated Company (2021-2030)", we aim to contribute to a sustainable society as a world-class functional chemical manufacturer. To achieve this, we continuously review our business portfolio to pursue sustainable growth. Based on this vision, we carefully considered all options for the surface protection film business in the context of optimal allocation of management resources and business portfolio management. Consequently, we determined that expanding the Business under Sun A. Kaken, a leading domestic plastic film processing manufacturer, would be optimal for our business partners, end consumers who use our related products daily, and other stakeholders. Thus, Resonac has decided to proceed with the Transfer. We are confident that by strategically and proactively advancing the Business in collaboration with Sun A. Kaken, which has a proven track record in the manufacturing and sales of surface protection films, we can achieve further growth and enhance competitiveness of the Business.

We anticipate that the impact of the Transfer on Resonac’s performance will be insignificant.
 

2. Overview of the Business Transfer

　1) Target business: surface protection film business

　2) Objects of transfer: contracts, patent rights, technical know-how, and some equipment (employees are not included)

　3) Transfer agreement signing date: August 7, 2024

　4) Closing date: November 15, 2024

 

3. Overview of the Transferee Company