Frente Co. Ltd. (JASDAQ:2226) announced a private placement with existing investor Nissin Foods Holdings Co., Ltd on May 11, 2012.

On May 21, 2012, the company announced that it will issue 653,000 common shares by third-party allocation at ¥2,110 per share for gross proceeds of ¥1,377,830,000. Through the transaction, the investor will increase its stake from 5.03% to 19% in the company. The company will pay expenses of ¥8,000,000 including paperwork processing fees, legal fees and registration fees and will receive net proceeds of ¥1,369,830,000. The deal is expected to close on June 20, 2012.

On August 21, 2012, Frente Co. Ltd. closed the transaction. The company issued the new shares to Nissin Foods Holdings Co., Ltd, who also acquired 44,500 shares from principal shareholders of the company. The investor will thereby have 20% stake in the company pursuant to the transaction.