— Strategic Reorganization to Accelerate the Independence and Growth of the Circular Economy Business —
PNH Co., Ltd. (the “Company”) hereby announces that it has transferred all shares of UPCYCLE Technologies Co., Ltd. (“UPCYCLE”), previously held by the Company, to Masatsuna Ogi. In addition, UPCYCLE has completed a third-party allotment capital increase.
This transaction is part of the Company’s strategy to optimize its business portfolio and accelerate the growth of its circular economy business.
■ Overview of the Share Transfer
The Company has transferred all shares of UPCYCLE, which had been a wholly owned subsidiary, to Masatsuna Ogi.
As a result of this transfer, UPCYCLE has become independent from the Company’s group and will accelerate its business development under founder-led management, enabling faster decision-making and execution.
■ Capital Strengthening at UPCYCLE
Simultaneously with the share transfer, UPCYCLE conducted a third-party allotment of new shares and successfully raised a total of JPY 35 million.
Subscribers and Investment Amounts
- Masatsuna Ogi: JPY 25 million
- Satomi Ogi: JPY 10 million
Through this capital increase, UPCYCLE plans to accelerate investments in prototype development, catalyst research, and related initiatives, further advancing the social implementation of its business.
■ Background and Purpose of the Transaction
The Company has previously promoted its circular economy business within the group. However, given the nature of the business, which requires:
- Advanced technology development
- Global expansion
- Agile capital strategy
the Company has determined that operating as an independent entity is the optimal approach.
Through this restructuring, UPCYCLE is expected to achieve faster decision-making and more flexible fundraising, thereby maximizing its growth potential.
■ Future Relationship
Although UPCYCLE will become independent from the Company’s group, the Company will continue to collaborate with and support UPCYCLE, aiming to create ongoing synergies.
■ Outlook
The impact of this transaction on the Company’s consolidated financial results is expected to be minimal.
On the other hand, the optimization of the business portfolio is expected to contribute to the enhancement of the Company’s medium- to long-term corporate value.