Tender Offer and Taking Private of Shinsegae E&C by E Mart

• E Mart Inc (139480 KS) is conducting a tender offer of 27.33% of Shinsegae Eng & Construction (034300 KS) (2,126,611 shares) and trying to take the company private afterwards.

• The tender offer price is 18,300 won, which is 14% higher than the closing price on Friday (27 September).

• Tender offer is likely to result in higher price of Shinsegae E&C in the near term but it could be difficult for E Mart to take it private this year.