Notice of Offering of Newly Issued Shares and the First Stock Acquisition Rights by Third-Party Allotment

Overview of fundraising

Onex is issuing 249,000 new shares through a third-party allotment and 14,110 stock acquisition rights to secure investment funds for AI data center-related projects. The total paid-in amount is 2,439,433,080 yen, and the total funds raised amount to 2,427,175,750 yen, of which 362,046,000 yen comes from the paid-in for new shares and 25,793,080 yen from stock acquisition rights; the total paid-in upon exercise is 2,051,594,000 yen. The allottee is Pinxiang Enterprises Co., Ltd. (Taiwan). Issue price per share is 1,454 yen, exercise price is 1,454 yen, and the exercise period is from October 8, 2026 to February 28, 2029. We have introduced mechanisms to suppress dilution, such as exercise conditions, transfer restrictions, and fixed exercise prices.

Use of funds and rationale

Funds will be used for land acquisition for AI data center business amounting to 1,500 million yen and acquisition of receiving equipment amounting to 927 million yen, totaling 2,427 million yen. The land is planned to be over 100,000 square meters, with Kyushu as the primary candidate area, and expansion to Tohoku, Hokkaido, Shikoku, etc., if necessary. Receiving equipment is based on 66kV/77kV, consisting of two transformers, two feeder backlines, underground ducts, and electrical cables totaling 1,300 million yen. The remaining 373 million yen will be funded from internal funds or borrowings. External funds will be raised through equity, and no debt will be adopted, maintaining flexibility in capital policy.