Execution of a technology transfer agreement concerning the licensing of intellectual property rights relating to Multi Aqua, the provision of technical information, and the transfer of equipment, among other matters
TECHNOFLEX CORPORATION (the filing company), 株式会社初田製作所 (the counterparty)
“Multi Aqua” water supply pipes with water storage function: “S Series,” “C Series” and “P Series”
After deciding to end production against a backdrop including declining profitability due to rising raw material costs and other factors in recent years, the Company received proposals from multiple companies to take over the business and considered the continued supply of this disaster-prevention product, which has significant social value, among other matters.
Not disclosed. Details of the consideration and other terms have not been disclosed due to confidentiality obligations, and the impact on consolidated results for the current fiscal year is considered immaterial.
Consolidated results for the current fiscal year
No information was provided regarding the impact on the earnings forecast. The impact on consolidated results for the current fiscal year is considered immaterial.
Company response
From July 2027 onward, after 株式会社初田製作所 begins manufacturing, TECHNOFLEX CORPORATION will end the manufacturing and sales of finished Multi Aqua products. However, the supply of certain parts will continue.
From July 2027 onward (予定), 株式会社初田製作所 will begin manufacturing Multi Aqua once the necessary arrangements are in place. Until manufacturing begins, TECHNOFLEX CORPORATION will continue manufacturing, fulfill its existing order obligations, and provide maintenance and replacement services for products already delivered. After manufacturing begins, the manufacturing and sales of finished products will be changed entirely from TECHNOFLEX CORPORATION to 株式会社初田製作所. TECHNOFLEX CORPORATION will continue supplying certain parts to 株式会社初田製作所 after the transition.
The Company will promptly make an announcement if any material matter requiring disclosure arises in the future.
| Item | Details |
|---|---|
| Event name | Execution of a technology transfer agreement concerning the licensing of intellectual property rights relating to Multi Aqua, the provision of technical information, and the transfer of equipment, among other matters |
| Date of occurrence | 30 June 2026 (the date of execution of the agreement) |
| Subject Entity | TECHNOFLEX CORPORATION (the filing company), 株式会社初田製作所 (the counterparty) |
| Target Locations / Products | “Multi Aqua” water supply pipes with water storage function: “S Series,” “C Series” and “P Series” |
| Cause | After deciding to end production against a backdrop including declining profitability due to rising raw material costs and other factors in recent years, the Company received proposals from multiple companies to take over the business and considered the continued supply of this disaster-prevention product, which has significant social value, among other matters. |
| Amount of Impact on Business Performance | Not disclosed. Details of the consideration and other terms have not been disclosed due to confidentiality obligations, and the impact on consolidated results for the current fiscal year is considered immaterial. |
| Accounting period in which recognized | Consolidated results for the current fiscal year |
| Impact on Earnings Forecast | No information was provided regarding the impact on the earnings forecast. The impact on consolidated results for the current fiscal year is considered immaterial. |
| Suspended operations | From July 2027 onward, after 株式会社初田製作所 begins manufacturing, TECHNOFLEX CORPORATION will end the manufacturing and sales of finished Multi Aqua products. However, the supply of certain parts will continue. |
| Outlook | From July 2027 onward (予定), 株式会社初田製作所 will begin manufacturing Multi Aqua once the necessary arrangements are in place. Until manufacturing begins, TECHNOFLEX CORPORATION will continue manufacturing, fulfill its existing order obligations, and provide maintenance and replacement services for products already delivered. After manufacturing begins, the manufacturing and sales of finished products will be changed entirely from TECHNOFLEX CORPORATION to 株式会社初田製作所. TECHNOFLEX CORPORATION will continue supplying certain parts to 株式会社初田製作所 after the transition. |
| Planned follow-up disclosure | The Company will promptly make an announcement if any material matter requiring disclosure arises in the future. |
Items this document does not state (14)
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.The Company had decided to end production because the profitability of Multi Aqua had declined due to rising raw material costs and other factors in recent years, but received proposals from multiple companies to take over the business. The Company determined that entrusting the manufacturing and sales of this disaster-prevention product, which has significant social value, to 株式会社初田製作所 was the best option for meeting its supply responsibilities to existing customers and responding to social needs.