Expansion of Business Scope Through Subscription for Shares Issued by DREAMBEER in a Third-Party Allotment

「In addition to the above, during the consolidated fiscal year, the company recognized an impairment loss of ¥635 million on its equity-method investment in DREAMBEER Co., Ltd., an associate, and recorded it in the consolidated statement of income as an "impairment loss on investments accounted for using the equity method."」

「At a meeting of the Board of Directors held on 21 March 2024, the company resolved to make an additional subscription for convertible bonds with stock acquisition rights issued by DREAMBEER through a private placement, and completed the subscription on 5 April 2024. On 5 April 2024, the company subscribed through a private placement for 5 convertible bonds with stock acquisition rights issued by DREAMBEER for ¥1,579 million.」

「At a meeting of the Board of Directors held on 12 October 2023, the Company resolved to subscribe for a private placement of common shares and convertible bonds with stock acquisition rights issued by 株式会社DREAMBEER (the “DREAMBEER private placement”), and completed the subscription on 31 October 2023. The Company decided to subscribe because it believed that the mutual use of management resources with DREAMBEER, which operates a rental business for household beer servers and a liquor-sales business, would enable it to provide services with higher customer satisfaction, further improve management efficiency and strengthen competitiveness, thereby expanding its business fields and scale and enhancing corporate value. On 31 October 2023, the Company subscribed for 74,962 common shares of DREAMBEER for ¥999 million and convertible bonds with stock acquisition rights for ¥1,999 million through a private placement. The bonds would correspond to 149,925 common shares if all stock acquisition rights were converted at that time.」