IHI Machinery and furnace Co., Ltd (“IMS”), IHI’s 100% subsidiary company, is a top share supplier of the vacuum furnace with more than 2000 installations all over the world and a leading company especially for vacuum carburizing technology with its unique patent for carburizing with acetylene gas. The acquisition of VTN is the step for further global expansion of IHI/IMS vacuum heat treatment technology through the European market, and the combination of VTN’s process engineering coupled with the design engineering excellence at IHI/IMS for heat treatment machinery, would contribute to our customers in the coming years. Going forward, VTN, IHI and its other subsidiaries for surface treatment, IHI Ionbond AG, IHI Hauzer technocoating BV, will work together to provide a comprehensive portfolio of services in both metal and non-metal applications, furthering IHI’s ambition of becoming a global leader in heat treatment and surface treatment technology markets which are expected to show significant future growth. The headquarters of VTN will remain in Witten, Germany. The Transaction is subject to obtaining the necessary regulatory approvals.