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A multiple-input multiple-output two-way relay channel consisting of two communication nodes and a full-duplex relay node in which no direct link exists between the two communication nodes is considered. We propose an achievable scheme that employs horizontally encoded lattice codes combined with generalized singular value decomposition-based precoding for the first phase. The second phase of the proposed scheme follows the fundamentals of the previous scheme, which uses vertically encoded structural bining, with the only difference that the added codeword of the two codewords from the communication nodes, instead of those two individual codewords, is decoded and retransmitted in the proposed scheme. We show that the proposed scheme achieves the cut-set bound asymptotically as the signal-to-noise ratios of the channels tend to infinity.