Lease The company and China steel corporation coal tar plant lease expired and renewed
2020 Dec 30
Name and nature of the underlying asset (e.g., land located at Sublot XX,Lot XX, North District, Taichung City):Kaohsiung City Xiaogang District Dalinpu Section 1050 Part of the land (area 650 square meters), Yan Port Section 1005-1012 land number and 1013-1017 land number(a total area of 37,000.25 square meters).
Date of occurrence of the event:2020/12/30
Transaction unit amount (e.g.XX square meters, equivalent to XX ping),unit price, and total transaction price:The leased land area is 37,650.25 square meters.The total annual rent is NT$14,667,998(Pre-tax).The right-of-use asset is NT$560,521,555.
Trading counterparty and its relationship with the Company (if the trading counterparty is a natural person and furthermore is not a related party of the Company, the name of the trading counterparty is not required to be disclosed):China Steel Corporation;Parent Company of China Steel Chemical Corporation.
Where the trading counterparty is a related party, announcement shall also be made of the reason for choosing the related party as trading counterparty and the identity of the previous owner, its relationship with the Company and the trading counterparty, and the previous date and monetary amount of transfer:In order to process the by-product coal tar and light oil produced by China steel co.,the company needs land to build plants and equipment.
Where an owner of the underlying assets within the past five years has been a related party of the Company, the announcement shall also include the date and price of acquisition and disposal by the related party, and its relationship with the Company at the time of the transaction:N/A.
Projected gain (or loss) through disposal (not applicable for acquisition of assets; those with deferral should provide a table explaining recognition):N/A.
Terms of delivery or payment (including payment period and monetary amount), restrictive covenants in the contract, and other important terms and conditions:
Payment term: every half year.
Rental period : 2021/01/01 to 2025/12/31;5 years.
Restrictive covenants in the contract: None.
The manner of deciding on this transaction (such as invitation to tender, price comparison, or price negotiation), the reference basis for the decision on price, and the decision-making unit: According to the board of directors.
Name of the professional appraisal firm or company and its appraisal price:N/A.
Name of the professional appraiser:N/A.
Practice certificate number of the professional appraiser:N/A.
The appraisal report has a limited price, specific price,or special price:N/A.
An appraisal report has not yet been obtained:N/A.
Reason for an appraisal report not being obtained:N/A.
Reason for any significant discrepancy with the appraisal reports and opinion of the CPA:N/A.
Name of the CPA firm:N/A.
Name of the CPA:N/A.
Practice certificate number of the CPA:N/A.
Broker and broker's fee:N/A.
Concrete purpose or use of the acquisition or disposal:In order to process the by-product coal tar and light oil produced by China steel co.,the company needs land to build plants and equipment.
Any dissenting opinions of directors to the present transaction:None
Whether the counterparty of the current transaction is a related party:yes.
Date of the board of directors resolution:2020/12/30
Date of ratification by supervisors or approval by the audit committee:2020/12/29
The transaction is to acquire a real property or right-of-use asset from a related party:yes.
The price assessed in accordance with the Article 16 of the Regulations Governing the Acquisition and Disposal of Assets by Public Companies:NTD 560,521,555.
Where the above assessed price is lower than the transaction price,the price assessed in accordance with the Article 17 of the same regulations:NA.
Any other matters that need to be specified:NA.