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Statutory disclosure document3823THE WHY HOW DO COMPANY,Inc.Information and Communications, Services and Others

Statutory Prior Disclosure Document (Share Exchange) (Pavilions Co., Ltd.)

THE WHY HOW DO COMPANY decided to conduct a share exchange to make Pavilions a wholly owned subsidiary and entered into an agreement. For each common share of Pavilions, 133,333 1/3 common shares of THE WHY HOW DO COMPANY will be allotted, with a total of 2,000,000 shares scheduled to be delivered.

Worth reading
76Important
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Direction
Neutral
Direction inferred from the company’s description.
Scale
2000000
The Company's common shares
Wording
Conditional
How definitive the wording is.

Decision and Details

Our Board of Directors; decision by Pavilions' directors

A share exchange under which our company will become the wholly owning parent company and Pavilions will become the wholly owned subsidiary

Decision31 July 2026
ImplementationShareholders will be determined as of 18 September 2026, and the effective date of the share exchange is scheduled to be the date stated in the share exchange agreement in Appendix 1 (the specific effective date is Not disclosed in the main text).
Going forwardThe shares are scheduled to be allotted and delivered to Pavilions shareholders as of 18 September 2026. Pavilions is scheduled to cancel all treasury shares it holds immediately before the share exchange becomes effective.
Quantity / scale133,333 1/3 of our common shares for each common share of Pavilions, with 2,000,000 of our common shares to be delivered. Pavilions has 100 issued common shares.
Reason

To ensure the fairness and appropriateness of the share exchange ratio, the parties held repeated negotiations and discussions after comprehensively considering the valuation results prepared by a third-party valuation institution, Pavilions' financial position and future outlook, and other factors, and determined that the share exchange ratio was appropriate.

Decision and Details
ItemDetails
Matter CoveredA share exchange under which our company will become the wholly owning parent company and Pavilions will become the wholly owned subsidiary
Decision-Making BodyOur Board of Directors; decision by Pavilions' directors
Decision Date31 July 2026
Implementation DateShareholders will be determined as of 18 September 2026, and the effective date of the share exchange is scheduled to be the date stated in the share exchange agreement in Appendix 1 (the specific effective date is Not disclosed in the main text).
Quantity / scale133,333 1/3 of our common shares for each common share of Pavilions, with 2,000,000 of our common shares to be delivered. Pavilions has 100 issued common shares.
ReasonTo ensure the fairness and appropriateness of the share exchange ratio, the parties held repeated negotiations and discussions after comprehensively considering the valuation results prepared by a third-party valuation institution, Pavilions' financial position and future outlook, and other factors, and determined that the share exchange ratio was appropriate.
Governing RuleArticle 794, Paragraph 1; Article 193 of the Ordinance for Enforcement of the Companies Act; Article 796, Paragraph 2; Article 768, Paragraph 1; Article 39 of the Ordinance on Company Accounting; Article 789, Paragraph 1; and Article 799, Paragraph 1 of the Companies Act
Future plansThe shares are scheduled to be allotted and delivered to Pavilions shareholders as of 18 September 2026. Pavilions is scheduled to cancel all treasury shares it holds immediately before the share exchange becomes effective.
Items this document does not state (4)
Period CoveredAmountImpact on Business PerformanceRelated previous disclosures

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.

To ensure the fairness and appropriateness of the share exchange ratio, an independent third-party valuation institution was commissioned to value Pavilions' shares. Following negotiations and discussions based on the valuation results, the financial positions and future outlooks of both companies, the ratio was determined to be appropriate.

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Statutory Prior Disclosure Document (Share Exchange) (Pavilions Co., Ltd.) | THE WHY HOW DO COMPANY,Inc. (3823) timely disclosure | Komori