Agreements reached under this partnership
Business Alliances- 1
Revision of the contractual terms on the premise that the business relationship will continue
- 2
There will be no change to our OEM supply structure
- 3
The business partner will be positioned as an important partner within our group, with the aim of maintaining and developing a long-term, stable business relationship.
These are items that the documents state the two companies will work on. The lines above and below represent arrangements between the two companies.
This indicates whether the companies will do more than work together, such as holding each other’s shares or seconding personnel (capital and business alliance).
The lump-sum payment of US$30 million will be recognized as extraordinary income. The accounting treatment is currently under discussion with the audit firm.
| Item | Details |
|---|---|
| Name of alliance partner | This business partner (name undisclosed) |
| Alliance partner's business activities | A business partner to which we supply high-pressure pumps and other products on an OEM basis. The shares are being transferred to Franklin Electric Co., Inc., which operates globally in fields including pumps, water systems and fuel supply systems. |
| Type of alliance | Business Alliances |
| Details of the alliance | Revision of the contractual terms on the premise that the business relationship will continue, There will be no change to our OEM supply structure, The business partner will be positioned as an important partner within our group, with the aim of maintaining and developing a long-term, stable business relationship. |
| Date of board resolution | 8 September 2026 |
| Contract Date | 8 September 2026 |
| Share Acquisition Date and Payment Date | Upon completion of the procedures for the transfer of shares in the business partner (specific date: Not disclosed) |
| Impact on Business Performance | The lump-sum payment of US$30 million will be recognized as extraordinary income. The accounting treatment is currently under discussion with the audit firm. |
| Change in major shareholders | The business partner's former shareholder (name and shareholding ratio: Not disclosed) → Franklin Electric Co., Inc. (shareholding ratio: Not disclosed) |
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.A lump-sum payment will be received as consideration for reviewing the contractual terms in order to maintain a smooth business relationship after the business partner's shareholder changes.