TRANSLATION FOR REFERENCE PURPOSE ONLYThis notice has been translated from the original Japanese text of the timely disclose statement and is forreference purpose only. In the event of any discrepancy between the original Japanese and this translation,
the Japanese text shall prevail.
February 1, 2019

To whom it may concern:

Company Name: Asahi Holdings, Inc.
Representative: Tomoya Higashiura, President(Code: 5857, First Section of the Tokyo Stock Exchange)
Contact:

Kunihiko Chogo, General Manager,
Corporate Planning & Communications Department(Phone: +81-3-6270-1833)

Notice of Asset Acquisition of Republic Metals Corporation and Republic Carbon Company,LLC
This is to notify that Asahi Holdings, Inc. (hereinafter the “Company”) was selected, through acompetitive bidding process, as the successful bidder for substantially all of the assets of Republic
Metals Corporation and its subsidiaries, including Republic Carbon Company, LLC, which are going
through a reorganization process under Chapter 11 of the United States Bankruptcy Code. Thistransaction is subject to approval from United States Bankruptcy Court and satisfaction of closing
conditions under an Asset Purchase Agreement.
Details
1. Overview of the business of Republic Metals Corporation and Republic Carbon Company, LLC
Republic Metals Corporation (hereinafter “RMC”), headquartered in Miami, Florida, is primarily
engaged in gold/silver refining and product fabrication (plating, minting, granulation, etc.).
According to data released prior to its reorganization process, the annual production capacity of RMC
is as follows: 2,500 tons for silver refining, 350 tons for gold refining and 55 million units for mint
manufacturing. Republic Carbon Company, LLC (hereinafter “RCC”) is primarily engaged in the dewatering, sampling and assaying of spent carbon. The number of employees at RMC and RCC as ofDecember 5, 2018 was respectively 146 and 6.
2. Purpose of acquisition and its strategic significance
The Company is entering into the acquisition of RMC and RCC to establish an even stronger
presence in the Precious Metals Segment in the North American market. This acquisition, combinedwith Asahi Refining Canada Ltd. (Brampton, Ontario) and Asahi Refining USA Inc. (Salt Lake City,Utah), which were acquired in March 2015, would expand the scale of Asahi Holdings Group’s
gold/silver refining business to rank among the world’s top-level companies.
Furthermore, this acquisition would add product fabrication and carbon treatment to the Group’s
list of business areas, expanding sources of added value to its downstream and upstream on thefoundation of a larger-scale gold/silver refining business. The Group will seek to develop newcustomers and increase revenue by capitalizing on its excellent comprehensive capabilities among
the world’s major private-sector companies engaged in the gold/silver refining business.
3. Assets acquired and value of acquisition
The value of acquisition is US 25.5 million dollars. The estimated amount of tangible fixed assets

filed by RMC to the United States Bankruptcy Court is US 25 million dollars (as of November 2,2018).
The acquired assets will be accepted by a newly-established company Asahi Refining Florida Inc.
The overview of Asahi Refining Florida Inc. is as shown below:(1) NameAsahi Refining Florida Inc.

(2) Location

12900 NW 38th Ave, Miami, FL 33054, USA(3) Title and name ofTomoya Higashiura (President)

representative(4) Business content

Gold/silver refining and production fabrication, treatment of spentcarbon(5) Capital

US 1 dollar(6) Date of establishment

January 14, 2019(7) Major shareholder andAsahi Americas Holdings, Inc.: 100% (scheduled)shareholding ratio(8) Relationship between
the listed company andCapital

Asahi Americas Holdings, Inc., a wholly-owned

relationshipsubsidiary of the Company is scheduled to gain

the relevant company

100% ownership of the relevant company.
Personnel

One director of the Company serves concurrently

relationshipas president of the relevant subsidiary.

Business

There is no applicable item.

transactions
4．Future schedule(1) Contract dateFebruary 5, 2019 (anticipated)(2) Hearing by the United States

February 13, 2019

Bankruptcy Court(3) Closing

February 28, 2019 (scheduled)

5. Future prospects
The impact of the acquisition on the financial results for this financial term, which is currently under
examination, is expected to be minimal.