Notice Regarding Acquisition of Shares of Hakuro Sake Brewery Co., Ltd. by Our Consolidated Subsidiary (Making It a Grandchild Company)

Overview of the M&A

Sekihara Sake Brewery Co., Ltd., a consolidated subsidiary of Kobe Bussan Co., Ltd., resolved to acquire all 52,000 shares of Hakuro Sake Brewery Co., Ltd., a wholly-owned subsidiary of Hamada HD Co., Ltd., thus making it a 100% subsidiary. The acquisition price is undisclosed but has been determined at a fair value following due diligence by a third-party institution. Hakuro Sake Brewery primarily engages in the manufacturing and sales of Japanese sake, and this acquisition aims to strengthen Sekihara Sake Brewery’s production capacity and expand product categories to respond to recent demand growth.

Future Outlook and Impact

The share transfer agreement is scheduled to be signed on April 20, 2026, with the transfer execution planned for April 30, 2026. Although medium-term business expansion is anticipated, the impact on consolidated financial results for the fiscal year ending October 2026 is expected to be minor. Going forward, the Kobe Bussan Group will continue promoting an integrated production and sales structure, focusing on product development and strengthening supply systems.