LINE Corporation Establishes New Subsidiary by Company Split (Simplified Incorporation-Type Company Split)
LINE Corporation Establishes New Subsidiary by Company Split
(Simplified Incorporation-Type Company Split)
LINE Corporation (NYSE:LN) (TOKYO:3938) (Headquarters: Shinjuku-ku, Tokyo, Japan; Representative Director and CEO: Takeshi Idezawa; the “Company”) announced that the Company has decided at the board of directors meeting held today to establish a new subsidiary, Next Library Corporation (the “New Company”), by a simplified incorporation-type company split (“the Split”) to succeed the Company’s businesses relating to the NAVER Matome related business (the “Business”).
Since this is a simplified incorporation-type company split solely involving the Company, certain information is omitted from this announcement.
1. Purpose of the Company Split
The LINE Group operates a user participation-type search service within Japan called NAVER Matome, which allows general users to create webpages by compiling images, links, and videos on a specific topic.
To accelerate the decision-making process and execution thereof for the Business, the Company has decided to convert the Business into a wholly owned subsidiary by means of a company split. Through these means, the Company aims to improve the corporate value of the entire LINE Group by promoting greater mobility for the Business and expanding beyond the NAVER Matome service to branch out into various other user-participation services.
2. Summary of the Company Split