January 4, 2017
For Immediate Release
Company Name: Kurita Water Industries Ltd
Representative: Michiya Kadota, President
Securities Code: 6370, First Section of TSE
Contact: Hiroaki Mori,
General Manager of Corporate Planning
Department,Corporate Planning Division(Tel. +81-3-6743-5336)
Notice Regarding Acquisition of Fremont Industries, LLC (to make it a Subsidiary)

Kurita Water Industries Ltd. (“Kurita”) has been discussing the acquisition of 100% of the equity interests ofFremont Industries, LLC (headquartered in Minnesota, U.S.A.; hereinafter “Fremont”), a water treatment
chemicals manufacturing and sales company in U.S.A., with the equity holder of Fremont. Kurita announces
today that it has decided to acquire 100% of the equity interests of Fremont through Kurita America Holdings
Incorporated (headquartered in Delaware, U.S.A.; a Group company of Kurita) to make it a wholly-owned
subsidiary, and that the transfer of the equity interests was completed on January 3, 2017 CST.
1. Purpose of the acquisition
Fremont is a water treatment chemicals manufacturing and sales company that provides various types ofwater treatment chemicals in a broad range of areas, including hospitals and office building air-conditioning,
mainly in markets with growth potential such as biofuels and the food industry. Fremont has built local areacentric operating bases and systems in the Midwest Region of U.S.A. Kurita expects to increase the sales ofproducts and technologies of the Kurita Group and to develop new markets by taking advantage of thecustomer base and sales network of Fremont.
The Group will further accelerate its business development in U.S.A. by enhancing and expanding the salesand service networks of water treatment chemicals throughout U.S.A. in cooperation with the existing Kurita
Group company (Kurita America, Inc. headquartered in Texas, U.S.A).
2. Overview of the subsidiary (Fremont Industries, LLC)
(1)

Name

Fremont Industries, LLC(2)Head office4400 Valley Ind. Blvd. N. Shakopee, Minnesota, U.S.A.

(3)

Name and title ofrepresentative

Mark L. Gruss, CEO(4)

Business

Manufacture and sale of water treatment chemicals(5)

Paid-in capital

10,000 US dollars (as of December 31, 2015)(6)

Date of foundation

December 5, 1985

(7)

Equity holder andequity holding ratio

MDL Holdings, Inc., 100%1Capitalrelationship
Human(8)Relationships with
Kuritarelationship
Businessrelationship

None
None
None
Fremont is not a related party of Kurita. No directors,Related parties

employees, or affiliates of Fremont are related parties ofKurita

Net sales in the fiscal(9)

year ended December

30,940,000 US dollars

2015

3. Percentage of equity interests to acquire and equity holding ratio before and after acquisition
(1)
(2)
(3)
(4)

Equity holding ratio
before acquisition
Percentage of equity－100%interests to acquire
Acquisition cost

Approximately 40 million US dollars

Equity holding ratio

100%

after acquisition

4. Schedule of closing(1)

Board approval

November 30, 2016 JST (Note)(2)

Date of signing

December 19, 2016 CST (Note)

Closing(3)(Date of acquisition ofJanuary 3, 2017 CST (Note)equity interests)(Note) After the board resolution on November 30, 2016 JST, we continued discussing the details of thecontracts with the equity holder of Fremont, and the transfer of the equity interests was completed on January 3,
2017 CST.
5. Financial impact
The financial impact of the acquisition on Kurita’s consolidated financial statements is still under review andwill be disclosed in a timely manner where necessary.

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