Notice of Acquisition of Land and Rights Related to Interconnection for High-Voltage Power Storage System

Overview of Business Plan

While focusing on the real estate leasing business for pachinko halls as our core, we position the energy storage system business for grid interconnection as a new pillar of stable long-term revenue. This project involves the resolution to acquire rights for a high-voltage system energy storage facility in Hita City, Oita Prefecture. Under a collaborative framework with Gotion and SMA, we will negotiate the installation and operational conditions individually and proceed with contracting. Additionally, we aim to enhance operation efficiency and accumulate know-how by developing multiple sites within the same area.

Financial Impact and Future Outlook

The energy storage system is scheduled to start power reception in June 2027, with participation in demand-supply balancing markets to proceed after commissioning, following adjustments and testing with aggregators and others. The main revenue is expected from earnings in the demand-supply balancing market, with considerations for leveraging market price differences and capacity market offerings. Revenue scale and timing of contribution are subject to market conditions, equipment performance, and operational costs. Direct contribution to performance is anticipated from the fiscal year ending March 2028 onward.