Notice Regarding the Signing of an Agreement to Acquire Dallas Industries (as a Subsidiary)

AIDA ENGINEERING, LTD.

Toshihiko Suzuki Representative Director and President

Notice Regarding the Signing of an Agreement to Acquire Dallas Industries (as a Subsidiary)

AIDA is pleased to announce that at the Board of Directors meeting held on 28 October 2025, it was resolved to acquire all equity interests in Dallas Industries (hereafter referred to as "Dallas"), a US-based company that designs and manufactures coil feeders, etc., and make it a subsidiary, and that AIDA entered into a transfer agreement for this acquisition of equity interests.

1. Reasons for Acquiring Equity Interests

   As a comprehensive manufacturer of press forming systems, AIDA supports its customers' manufacturing by providing solutions for the entire production line, including presses as well as automation equipment and factory automation, such as material feeders and automatic transfer feeders. However, because customers outside of Japan especially prefer local procurement due to factors such as import costs, maintenance concerns, service support, and product specifications, a key strategy for AIDA is strengthening its overseas automation supply chain.

   Dallas, which will become a subsidiary through this action, is a US-based company that designs and manufactures coil feed equipment, etc. Dallas possesses advanced technological and service capabilities and has a long history of working in partnership with AIDA to supply solutions to customers. In addition to the acquisition of HMS Products Co. (hereafter referred to as "HMS") in April of this year, which specializes in destackers and transfer feeders, the acquisition of Dallas, which specializes in coil feeders, will establish an automation supply chain in the Americas that will enable the AIDA Group to independently provide products--ranging from small presses to large presses and including automation--for entire press lines.

   Following the acquisition, we will take advantage of the fact that both HMS and Dallas are located near Detroit to achieve synergistic expansion through additional investments in the joint operation of their factories, production equipment, and systems, etc., Including the acquisition of HMS and Dallas, the total investment for this initiative to strengthen our automation offerings in the Americas is expected to reach 5 billion yen.

   Also, across our entire group, we will achieve further synergies in the development of automation systems and provision of solutions, including AI utilization, by strengthening global collaboration encompassing our FA division, R&D division, and our domestic subsidiary REJ (Automation Control).

   Moreover, this initiative will enable US customers to locally procure not only presses but also automation, which will help reduce cost burdens resulting from US tariff policies.

2. Overview of the Subsidiary to be Transferred

   (1) Company Name	Dallas Industries
   (2) Location	State of Michigan, United States
   (3) Business Overview	The design and manufacture of coil feeder equipment, etc.
   (4) Year Founded	1962 yrs.
   (5) No. of Employees	Approx. 40
   (6) Gross sales	FY2024 (Ended Dec. 2024): USD$14.5 million (Approx. 2.2 billion yen)

3. Contract and closing date (expect): October 31, 2025 (U.S. local time)

4. Forecast

The impact of this acquisition on the consolidated financial results for the current fiscal year (ending March 31, 2026) is expected to be minimal. If any matters that require a notification arise in the future, AIDA will promptly issue such notification.