Notice Regarding Absorption-Type Merger (Simplified and Short-Form Merger) of Wholly Owned Subsidiary (Shiseido Interactive Beauty Co., Ltd.)

Overview of the Absorption-Type Merger

Shiseido Company, Limited has decided to absorb its wholly owned subsidiary, Shiseido Interactive Beauty Co., Ltd. (SIB), effective June 1, 2026. SIB is a company responsible for digital marketing and information system development and operations, and since its establishment in July 2021, it has contributed to strengthening the digital and IT domains through a partnership with Accenture. Following the expiration of the partnership contract at the end of December 2025, aiming to optimize the entire group and maximize synergies, SIB was made a wholly owned subsidiary as of January 1, 2026, leading to this absorption-type merger.

Future Outlook and Impact

Through this absorption-type merger, the advanced digital and IT capabilities and specialized personnel of SIB will be integrated and positioned within Shiseido Company, Limited and Shiseido Japan Co., Ltd., aiming to accelerate decision-making and optimize operational frameworks. This merger is a simplified merger between wholly owned subsidiaries, and its impact on the consolidated financial results for the fiscal year ending December 2026 is expected to be minor. There will be no allocation of shares or treatment of stock acquisition rights associated with the merger.