Doosan "Bobcat, Robotics Subsidiary" Re-promotion... Recalculation of Merger Ratio (Update)

Increase in Value of Newly Established Corporation Holding Bobcat
Merger Ratio Changed from '1:0.03' to '1:0.04'

Doosan Group is re-initiating a business restructuring plan to spin off Doosan Bobcat, which has served as a 'cash cow,' from Doosan Enerbility and make it a subsidiary of Doosan Robotics.

Doosan Enerbility and Doosan Robotics announced on the 21st that they each held board meetings and approved the agenda containing these details.

In the bidding competition for the new Dukovany nuclear power plant in the Czech Republic, "Team Korea," led by Korea Hydro & Nuclear Power and consisting of Doosan Enerbility, Daewoo Engineering & Construction, and Korea Electric Power Technology, was selected as the preferred negotiator, defeating the French Electric Utility Company (EDF). The photo was taken on the 18th at Doosan Tower, Jung-gu, Seoul. Photo by Jinhyung Kang aymsdream@

Doosan recalculated the value of the newly established company spun off from Doosan Enerbility that holds Doosan Bobcat, and changed the merger ratio so that Doosan Enerbility shareholders can receive more shares of Doosan Robotics than before.

The intrinsic value of the newly established spin-off merger company rose nearly threefold, from 10,221 KRW per share to 29,965 KRW per share.

The merger value of Doosan Robotics was calculated to be 80,114 KRW, the same as before.

Accordingly, the common stock merger ratio between Doosan Robotics and the newly established spin-off division of Doosan Enerbility is 1:0.0432962. The previous merger ratio was 1:0.0315651.

Earlier, Doosan attempted to merge Doosan Bobcat and Doosan Robotics through a comprehensive stock exchange method while pursuing business structure reorganization, but withdrew the plan at the end of August due to shareholder opposition and pressure from financial authorities.

They have been promoting a plan to separate Doosan Enerbility into a newly established company holding Doosan Bobcat shares and then merge it with Doosan Robotics.