Notice Regarding Acquisition of Stock of Synapse Innovation Inc. (Subsidiarization)

Overview of M&A

Sharp Corporation has decided to acquire all shares of Synapse Innovation Inc., which operates in the integrated core business system (ERP) sector with SaaS-based all-cloud ERP and system integration services, thereby making it a subsidiary. The number of shares to be acquired is 2,762,000, and the acquisition price is 3,801 million yen, with the acquisition date scheduled for March 23, 2026. Synapse Innovation is headquartered in Osaka City, Osaka Prefecture, and its main business is planning, development, and implementation of UM SaaS Cloud, with net sales of 2,272 million yen for the fiscal year ending March 2025.

Impact on Shareholders and Future Outlook

This transaction will increase the number of Sharp’s consolidated subsidiaries, accelerating proposals to improve core business operations for B2B customers and domestic and overseas business expansion. Meanwhile, the impact on the Company’s consolidated earnings is expected to be minor. Details regarding the counterparty are undisclosed due to confidentiality agreements. Synapse Innovation carried out a stock split in June 2024 (1 share → 10 shares), which is expected to contribute to future business foundation strengthening.