Information on Partial Revision of Tender Offer (TOB) Rules

In order to avoid misleading results due to some ambiguous parts of the Tender Offer Rules disclosed on September 16, 2018 in [Announcement Regarding on the Commencement of Tender Offer (friendly takeover)], we have decided to revise the Tender Offer Rules as follows.

Existing Rule

Tender Offer Rules
During the Tender Offer period, if the amount of applications for the Tender Offer exceeds the total number of entries requested by the Offeror, Offeror will purchase all quantities up to 79,200,000 MIN in the order from the top MIN holders. Even if you were not included in this 79,200,000 MIN, and was not eligible for the purchase, you can always sell MIN at the exchange rate at any time.

Case Study for this Rule

  • Tender Offer (TOB) ends at STAGE 2
  • The day when the total number of applications reached 79,200,000 MIN: Oct. 12, 2018
  • End Date of Tender Offer:Oct. 15, 2018
  • TOB Application Quantity: 100,000,000 MIN
User A
Application
Date
Sept. 18, 2018
Quantity 3,000 MIN
Purchase
Price
2.69 US$(latest purchase price will be applied)
User B
Application
Date
Oct. 14, 2018
Quantity 300,000 MIN
Purchase
Price
2.69 US$(latest purchase price will be applied)

In a case like this, although User A applied earlier than User B, but User B has a higher priority of being purchased by the Offeror than User A because User B’s application quantity is larger than User A. Even if User A was not qualified to be purchased by the Offeror, User A can always sell MIN at the exchange by the market price anytime.

Revised Rule

For TOB STAGE 1, we will abolish the rule of purchasing by prioritization according to the quantity of MIN and adopt the first-come-first-served basis.
For TOB STAGE 2 and subsequent stages, the original quantity-based rules retain instead of first-come-first-served basis.

Case study for the revised rule

  • Tender Offer (TOB) ends at STAGE 2
  • The day when the total number of applications reached 79,200,000 MIN: Oct. 12, 2018
  • End Date of Tender Offer:Oct. 15, 2018
  • TOB Application Quantity: 100,000,000 MIN
User A
Application
Date
Sept. 18, 2018
Quantity 3,000 MIN
Purchase
Price
2.69 US$(latest purchase price will be applied)
User B
Application
Date
Oct. 14, 2018
Quantity 300,000 MIN
Purchase
Price
2.69 US$(latest purchase price will be applied)
User C
Application
Date
Oct. 10, 2018
Quantity 3,000 MIN
Purchase
Price
2.69 US$(latest purchase price will be applied)

In this case, since User A applied for the Tender Offer during Stage 1, User A becomes a purchasing subject, based and the new first-come-first-served rule.
As for User B and C, they applied during Stage 2. Therefore, although User C applied earlier than User B, User B has a higher priority of being purchased by the Offeror than User C because User B’s application quantity is larger than User C. Even if User C was not qualified to be purchased by the Offeror, User C can always sell MIN at the exchange by the market price anytime.

MINDOL TOB ORDER FORM