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M&A and Subsidiary Changes4971MEC COMPANY LTD.Materials and Chemicals

Notice Regarding the Acquisition of Fixed Assets

MEC has decided to begin the procedures to acquire the land and buildings adjoining its Nagaoka Plant. The investment will be approximately ¥2.3 billion, and the property is scheduled to be handed over on 31 March 2027.

Worth reading
33Immaterial
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
23
Hundreds of millions of yen
Wording
Avoiding a definitive answer
How definitive the wording is.

This transaction

Acquisition of Fixed Assets
TimelineThe spacing between the points is proportional to the actual number of days.
Target company
Location Nagaoka, Niigata Prefecture
Consideration and expenses
Acquisition priceApproximately ¥2.3 billion (including land and buildings)
Type of ConsiderationCash (planned use of internal funds)
Funding arrangementsInternal funds (planned)
Impact on Business Performance

The impact on consolidated results for the fiscal year ending December 2026 is minor.

This transaction
ItemDetails
Transaction nameAcquisition of Fixed Assets
Location of the Subject CompanyNagaoka, Niigata Prefecture
Acquisition priceApproximately ¥2.3 billion (including land and buildings)
Type of ConsiderationCash (planned use of internal funds)
Funding arrangementsInternal funds (planned)
Impact on Business PerformanceThe impact on consolidated results for the fiscal year ending December 2026 is minor.
Date of board resolution30 September 2026
Contract Date30 September 2026
Execution Date / Effective Date31 March 2027 (property handover date)
Items this document does not state (23)
Counterparty nameName of the Subject CompanyBusiness Description of the Subject CompanyCapital Stock of the Subject CompanyDate of Establishment of the Subject CompanyNet Sales of the Subject CompanyOperating Profit of the Subject CompanyNet Income of the Subject CompanyNet Assets of the Subject CompanyExpenses other than the acquisition priceMerger ratio/share exchange ratioTender offer priceMinimum number of shares to be purchasedTender offer periodNumber of shares acquiredVoting rights ownership percentageGoodwill amountAmount of extraordinary income (loss)Valuation methodologyIndependent valuation institutionSpecial CommitteeConditions Precedent to ExecutionManagement structure after acquisition

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 capture growing demand for printed circuit boards and components driven by advances in generative AI and strengthen the supply system. In addition, as the Nagaoka Plant will reach 40 years in operation in 2033 and a major equipment upgrade is expected to be necessary, the aim is to expand the options for renovating the plant.

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Notice Regarding the Acquisition of Fixed Assets | MEC COMPANY LTD. (4971) timely disclosure | Komori