Strategic Partnership to Enhance Corporate Value

Hoshizaki Corporation (head office: Toyoake City, Aichi; Representative Director, President and CEO Yasuhiro Kobayashi, hereinafter “Hoshizaki”) and Japan Activation Capital, Inc. (head office: Minato-ku, Tokyo; Representative Director & CEO Hiroyuki Otsuka, hereinafter “JAC”) announced today that they have entered into a strategic partnership agreement (hereinafter the “Partnership Agreement”) aimed at achieving Hoshizaki’s sustainable growth and enhancing corporate value. (For details of this initiative, please refer to Hoshizaki’s timely disclosure announcements released today: “Announcement of Strategic Partnership to Enhance Corporate Value (Notice Regarding Strategic Partnership with Japan Activation Capital, Inc. and Disposal of Treasury Shares by Way of Third-Party Allotment)” and “Notice Concerning Decision on the Acquisition of Treasury Shares (Acquisition of Treasury Shares Pursuant to the Provisions of the Articles of Incorporation Under Article 459, Paragraph (1) of the Companies Act).”)

1. Background to the Partnership Agreement

The Hoshizaki Group, as a general food service equipment manufacturer, has expanded its business globally by leveraging its end-to-end business platform encompassing product development, manufacturing, sales, and after-sales services, which it has established over many years in Japan. The Group aims to become the world’s No.1 by proactively capturing growth opportunities in expanding overseas markets, while contributing to the global future by resolving issues facing customers and society in connection with food.

Under its “five-year management vision” launched in 2022, the Hoshizaki Group has steadily implemented growth strategies that aimed to improve social and environmental value together with economic value. Based on the achievements and progress made to date, the new Medium-Term Management Plan commencing in 2027 will place ever greater emphasis than before on improving capital efficiency and profit margins, while improving corporate value through continuous dialogue with the market. Specifically, in addition to maintaining stable growth in the domestic market, we will position the acceleration of overseas growth as a key priority, generating synergies within the Group, steadily executing regional strategies, and strengthening its global management foundation.

JAC is a public equity investment fund that supports the growth of its portfolio companies from medium- to long-term perspective, through trust-based partnership with their management teams, and possesses a wide range of expertise that contributes to improving corporate value. JAC brings together professionals with diverse backgrounds who have contributed to the growth and value creation of prominent Japanese companies. This collective expertise is actively applied to support the development of JAC’s portfolio companies.

Hoshizaki and JAC have engaged in constructive discussions, establishing a mutual understanding of each other’s philosophies as well as a common direction toward enhancing corporate value through accelerated transformation of the Hoshizaki Group to facilitate further growth and sustainable development over the long term. As a result, Hoshizaki has determined that JAC is the most appropriate partner to accompany the execution of the Hoshizaki Group’s growth strategies, and resolved at a meeting of its Board of Directors held on June 16, 2026 to enter into the Partnership Agreement.

Hoshizaki will fully leverage JAC’s resources, expertise, and network, while JAC, as a shareholder, will support to realize the Group’s medium- to long-term growth and foster expectations for further growth, thereby aiming to enhance the Hoshizaki Group’s sustainable corporate value.

2. Comments from management of Both Companies

Comment from Yasuhiro Kobayashi, Representative Director, President and CEO, Hoshizaki Corporation

“The Hoshizaki Group aims to become the world’s No.1 as a general food service equipment manufacturer. The tenets of the ‘Hoshizaki-ism,’ such as ‘change is the only way to evolve’ and ‘A profitable company has a culture that generates profit,’ remain the foundation of our group’s management, and the Group continues to advance and evolve as a group with each of its 61 consolidated subsidiaries around the world (as of June 16, 2026) leveraging its respective strengths.

As we enter the final year of our “five-year management vision (FY2022–FY2026)”, we have achieved five consecutive years of revenue and profit growth. However, there remain many challenges to overcome in realizing our goal of becoming the world’s No.1. Under the new Medium-Term Management Plan starting in 2027, we will place even greater emphasis on improving profitability and capital efficiency, while proactively pursuing structural reforms that go beyond the extension of existing initiatives.

In order to steadily execute these reforms, we have welcomed JAC as a strategic partner. By leveraging JAC’s diverse expertise, network, and hands-on support, we will further accelerate the execution of our growth strategies.

Guided by the Hoshizaki-ism, my mission is to drive our growth as a corporate group that continuously embraces change, while establishing a framework to ensure the enduring succession of this management mindset to future generations. Through our collaboration with JAC, we are fully committed to enhancing sustainable corporate value as an evolving company that contributes to society.”

Comment from Hiroyuki Otsuka, Representative Director & CEO of JAC

“We are truly honored to partner with the Hoshizaki Group, a Japan-originated global company that leads the food service equipment industry, as a strategic partner in enhancing corporate value.

The Hoshizaki Group has steadily grown as an ‘evolving company,’ delivering value not only to customers but also to society.

As it pursues further evolution in a constantly changing macro environment and end markets, we believe it will maintain its strong presence in Japan while continuing to expand aggressively as a challenger in overseas markets. To achieve this, it will be essential to further strengthen its global management platform, improve profitability and capital efficiency, and execute non-linear growth strategies including M&A with speed and enhanced management resources.

We strongly resonate with the leadership team’s commitment to transformation. As a strategic partner, we will provide multifaceted support for the execution of strategy and work alongside the company as a shareholder to help realize extraordinary value creation and further enhance its global presence.”

3. Company Overview

1) Hoshizaki Corporation

2) Japan Activation Capital, Inc.