Translation
May 11, 2026
Company: Tamura Corporation Representative: Mitsutaka Nakamura,
Representative Director & President Stock code: TSE Prime 6768
Contact: Mitsuaki Oishi,
Director of Corporate Management Division
Phone: +81-50-3664-0515
Notice Regarding Transfer of Equity Interest in a Consolidated Subsidiary in China
Tamura Corporation (the "Company") has resolved, at a Board of Directors meeting held today, to transfer all of its equity interest in Tamura Automotive Electronics (Foshan) CO., LTD. ("TAF"), a consolidated subsidiary (indirect subsidiary) and a specified subsidiary of the Company, to NICORE Electrical Manufactory Co., Ltd.. As a result of this transfer, TAF will cease to be a consolidated subsidiary (sub-subsidiary) of the Company, as follows.
Reasons for t Transfer
Under the 14th Medium-Term Management Plan, the Company is reviewing its business portfolio while promoting the establishment of a foundation for future growth and a transformation toward a structure capable of maximizing profitability efficiently.
TAF has been engaged in the manufacture and sale of automotive boost reactors, primarily for HEVs. In order to consolidate production of automotive boost reactors in Japan, including transferring production from China, enhance profitability, and expand supply to HEV growth markets, namely Japan,
the United States, and the ASEAN region, the Company has resolved to transfer its ownership of TAF to a company in China.
Overview of the Indirect Subsidiary
(1) Name
Tamura Automotive Electronics (Foshan) CO., LTD.
(2) Location
Dongyang three road 13, South China hardware industrial base, Danzao Town, Nanhai District, Foshan, Guangdong, 528216 China
(3) Representative
Chairperson and General Manager, Kenichi Kamiyama
(4) Business Description
Manufacturing and sales of electronic components for automotive applications
(5) Capital Stock
USD21,800,000.00
(6) Date of
Establishment
March 28, 2019
(7) Major shareholders and ownership ratios
Tamura Corporation of Hong Kong LTD. 100% (100% indirectly owned by the Company)
(8) Relationship
between the Company and said company
Capital relationship
Tamura Corporation of Hong Kong
LTD., a wholly owned subsidiary of the Company, owns 100% of issued shares
Personnel relationship
One Chairperson, four directors and
One Supervisor are the personnel of the
Company
Business relationship
Tamura Corporation of Hong Kong LTD., a wholly owned subsidiary of the Company, sells products of TAF
(9) Financial Position and Operating Results for The Past Three Years (millions of RMB)
Fiscal year end
ended December 2023
ended December 2024
ended December 2025
Net assets
4
48
29
Total assets
120
173
37
Sales
52
112
38
Operating loss
(9)
(0)
(15)
Ordinary loss
(10)
(1)
(19)
Net loss
(10)
(1)
(19)
Overview of the Transferee Company
(1) Name
NICORE Electrical Manufactory Co., Ltd.
(2) Location
No.6, Keyun Middle Road, A Zone, Shishan Industry Park, Nanhai, Foshan, China
(3) Representative
Chairperson Yang Qiongqiong
(4) Business Description
Manufacturing and sales of power electronic components
(5) Capital Stock
USD1,230,000.00
(6) Date of
Establishment
October 20, 2005
(7) Relationship
between the Company and said company
Capital relationship
Not applicable
Personnel relationship
Not applicable
Business relationship
The transferee supplies materials to
certain of the Company's group companies.
Applicability of related party
Not applicable
Number of Shares to Be Transferred and Ownership Status after the Transfer
(1) Number of equity interest held before
the transfer
100% indirectly owned by the Company
(2) Number of equity interest to be
transferred
100%
(3) Transfer Price
Disclosure has been omitted due to confidentiality obligations under the agreement between the parties.
(4) Number of equity interest held after the transfer
0%
Schedule
(1) Date of resolution at the Board of
Directors
May 11, 2026
(2) Date of conclusion of equity interest
transfer agreement
May 20, 2026 (Scheduled)
(3) Date of equity interest transfer
End of June 2026 (Scheduled)
Outlook
As a result of this equity transfer, the Company expects to record a gain on the transfer of equity of approximately JPY700 million as extraordinary income in the fiscal year ending March 31, 2027. This has been incorporated into the consolidated earnings forecast for the fiscal year ending March 31, 2027, as announced today in the "Summary of Consolidated Financial Results for the Fiscal Year Ended March 31, 2026 (Japanese GAAP)."