Last checked at 1 Oct 2021 07:00
Subject: Subsidiary Foxconn Asset Management LLC acquisition of the land and plant
Contents:
1.Name and nature of the underlying asset (e.g., land located at Sublot XX, Lot XX, North District, Taichung City):
2300 Hallock Young Road, Lordstown, Ohio land and plant
2.Date of occurrence of the event:2021/09/30
3.Transaction unit amount (e.g.XX square meters, equivalent to XX ping), unit price, and total transaction price:
Land: 6.2 million square feet
Plant:600 acre
Total transaction price: Abuot USD 230,000,000
4.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): Lordstown EV Corporation；None
5.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: Na
6.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: Na
7.Projected gain (or loss) through disposal (not applicable for acquisition of assets; those with deferral should provide a table explaining recognition):Na
8.Terms of delivery or payment (including payment period and monetary amount), restrictive covenants in the contract, and other important terms and conditions:
The transaction is a non-binding framework agreement. The actual transaction amount, assets, and terms shall be discussed and determined by both parties. Once the transactions terms are finalized, the transaction will be evaluated by a third party appraiser and will be announced separately in accordance with the regulations.
9.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:
Negotiation; market price; Board of Directors
10.Name of the professional appraisal firm or company and its appraisal price: Na
11.Name of the professional appraiser: Na
12.Practice certificate number of the professional appraiser: Na
13.The appraisal report has a limited price, specific price, or special price: Na
14.An appraisal report has not yet been obtained: Yes
15.Reason for an appraisal report not being obtained:
The transaction is a non-binding framework agreement. The actual transaction amount, assets, and terms shall be discussed and determined by both parties. Once the transactions terms are finalized, the transaction will be evaluated by a third party appraiser and will be announced separately in accordance with the regulations.
16.Reason for any significant discrepancy with the appraisal reports and opinion of the CPA: Na
17.Name of the CPA firm: Na
18.Name of the CPA: Na
19.Practice certificate number of the CPA: Na
20.Broker and broker's fee: None
21.Concrete purpose or use of the acquisition or disposal: Expand manufacutring facility
22.Any dissenting opinions of directors to the present transaction: None
23.Whether the counterparty of the current transaction is a related party: No
24.Date of the board of directors resolution: NA
25.Date of ratification by supervisors or approval by the audit committee: NA
26.The transaction is to acquire a real property or right-of-use asset from a related party: None
27.The price assessed in accordance with the Article 16 of the Regulations Governing the Acquisition and Disposal of Assets by Public Companies: NA
28.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
29.Any other matters that need to be specified: None