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Occurring Fact2762SANKO MARKETING FOODS CO.,LTD.Retail

Notice Concerning the Issuance by Third-Party Allotment of New Shares, the 3rd Series Unsecured Convertible Bonds with Stock Acquisition Rights and the 8th Series Stock Acquisition Rights, and Changes in a Major Shareholder and the Largest Shareholder among Major Shareholders

The Board of Directors decided to issue new shares to Takahiro Hirabayashi (平林隆広) through a debt-to-equity swap, and convertible bonds with share acquisition rights and share acquisition rights to EVO FUND. The issuance is expected to raise funds for working capital and growth investments, and changes in the major shareholders and largest major shareholder are also expected.

Worth reading
51Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
1299846000
Japanese yen (approximate net proceeds)
Wording
Conditional
How definitive the wording is.

Issuance by Third-Party Allotment of New Shares (in-kind contribution (debt-to-equity swap)), the 3rd Series Unsecured Convertible Bonds with Share Acquisition Rights (with a conversion price adjustment clause) and the 8th Series Share Acquisition Rights (with an exercise price adjustment clause), and Changes in Major Shareholders and the Largest Major Shareholder

Subject Entity

株式会社SANKO MARKETING FOODS (the filing company), Takahiro Hirabayashi (平林隆広), and EVO FUND

Target Locations / Products

Common shares, the 3rd Series Unsecured Convertible Bonds with Share Acquisition Rights, and the 8th Series Share Acquisition Rights

Occurrence15 May 2026 (date of issuance resolution)
Same day
Awareness or receipt of notice15 May 2026 (date of the Board of Directors' resolution)
This disclosure05/15/2026
Cause

As cash on hand is expected to become insufficient due to upfront investments associated with the business structure reform and delays in improving the earnings balance, it became necessary to secure working capital and make growth investments to build and reorganize the sixth-sector industrialization of the fisheries industry.

Company response

Suspended operations

The company is proceeding with measures to temporarily close, permanently close or change the format of certain new stores.

Investigation structure

The document states that the issuance expenses include costs related to obtaining the opinion of a third-party committee, but the committee chairperson and establishment date are not disclosed.

Directors' and officers' liability

Takahiro Hirabayashi (平林隆広) did not participate in the resolution because he is a specially interested party. Any reduction in compensation, resignation or similar action is not disclosed.

Amount of Impact on Business Performance

Estimated net proceeds of ¥1,299,846,000 (¥300,000,000 from the convertible bonds with share acquisition rights and ¥999,846,000 from the 8th Series Share Acquisition Rights). The new share issuance through the debt-to-equity swap involves an in-kind contribution and no cash payment. This is a capital raising transaction, and the accounting classification for profit or loss is not disclosed.

Impact on Earnings Forecast

The direct impact of, or revisions to, the earnings forecasts resulting from this financing are not disclosed in this document. The document separately refers to the “Notice Regarding Revisions to the Full-Year Consolidated Earnings Forecasts for the Fiscal Year Ending June 2026.”

Outlook

The new shares and the convertible bonds with share acquisition rights will be paid for on 1 June 2026. The 8th Series Share Acquisition Rights will be exercisable from 2 June 2026 through 2 June 2028. The funds raised will be allocated from June 2026 through May 2028 to working capital and growth investments for the sixth-sector industrialization of the fisheries industry.

Event that occurred
ItemDetails
Event nameIssuance by Third-Party Allotment of New Shares (in-kind contribution (debt-to-equity swap)), the 3rd Series Unsecured Convertible Bonds with Share Acquisition Rights (with a conversion price adjustment clause) and the 8th Series Share Acquisition Rights (with an exercise price adjustment clause), and Changes in Major Shareholders and the Largest Major Shareholder
Date of occurrence15 May 2026 (date of issuance resolution)
Date recognized / date notice received15 May 2026 (date of the Board of Directors' resolution)
Subject Entity株式会社SANKO MARKETING FOODS (the filing company), Takahiro Hirabayashi (平林隆広), and EVO FUND
Target Locations / ProductsCommon shares, the 3rd Series Unsecured Convertible Bonds with Share Acquisition Rights, and the 8th Series Share Acquisition Rights
CauseAs cash on hand is expected to become insufficient due to upfront investments associated with the business structure reform and delays in improving the earnings balance, it became necessary to secure working capital and make growth investments to build and reorganize the sixth-sector industrialization of the fisheries industry.
Amount of Impact on Business PerformanceEstimated net proceeds of ¥1,299,846,000 (¥300,000,000 from the convertible bonds with share acquisition rights and ¥999,846,000 from the 8th Series Share Acquisition Rights). The new share issuance through the debt-to-equity swap involves an in-kind contribution and no cash payment. This is a capital raising transaction, and the accounting classification for profit or loss is not disclosed.
Impact on Earnings ForecastThe direct impact of, or revisions to, the earnings forecasts resulting from this financing are not disclosed in this document. The document separately refers to the “Notice Regarding Revisions to the Full-Year Consolidated Earnings Forecasts for the Fiscal Year Ending June 2026.”
Suspended operationsThe company is proceeding with measures to temporarily close, permanently close or change the format of certain new stores.
Investigation structureThe document states that the issuance expenses include costs related to obtaining the opinion of a third-party committee, but the committee chairperson and establishment date are not disclosed.
Directors' and officers' liabilityTakahiro Hirabayashi (平林隆広) did not participate in the resolution because he is a specially interested party. Any reduction in compensation, resignation or similar action is not disclosed.
OutlookThe new shares and the convertible bonds with share acquisition rights will be paid for on 1 June 2026. The 8th Series Share Acquisition Rights will be exercisable from 2 June 2026 through 2 June 2028. The funds raised will be allocated from June 2026 through May 2028 to working capital and growth investments for the sixth-sector industrialization of the fisheries industry.
Items this document does not state (13)
Accounting period in which recognizedType of litigation or proceedingCourt or authorityPlaintiffDefendantDate of filing / date of actionClaim amount / surcharge amountAmount of receivables at risk of non-collection or delayed collectionScheduled resumption dateMeasures to prevent recurrenceVoting rights ownership percentage before the changeVoting rights ownership percentage after the changePlanned follow-up disclosure

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

As cash on hand is expected to become insufficient due to upfront investments and delays in improving the earnings balance, the company will secure the working capital necessary to maintain stable operations and make growth investments to build and reorganize its sixth-sector industrialization of the fisheries industry. The company also aims to reduce borrowings through the debt-to-equity swap and stabilize its financial base.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Notice Concerning the Issuance by Third-Party Allotment of New Shares, the 3rd Series Unsecured Convertible Bonds with Stock Acquisition Rights and the 8th Series Stock Acquisition Rights, and Changes in a Major Shareholder and the Largest Shareholder among Major Shareholders | SANKO MARKETING FOODS CO.,LTD. (2762) timely disclosure | Komori