Sun Frontier Fudousan to absorb wholly owned subsidiary Navd Inc.

Sun Frontier Fudousan Co., Ltd. resolved to merge with its wholly owned subsidiary, Navd Inc., through an absorption-type merger, with an effective date of November 1, 2025. The merger aims to integrate management resources and enhance operational efficiency. As Sun Frontier Fudousan is the surviving company and Navd Inc. will be dissolved, no new shares will be issued, and no cash or other consideration will be exchanged.

Both companies share a head office location at 1-2-2 Yurakucho, Chiyoda-ku, Tokyo. Sun Frontier Fudousan, a real estate business established on April 8, 1999, reported consolidated net assets of JPY 105,892m and net sales of JPY 103,174m for the fiscal year ended March 31, 2025. Navd Inc., established on December 22, 2021, specializes in architecture and spatial design and reported non-consolidated net assets of JPY 209m and net sales of JPY 377m for the same period.

This transaction qualifies as a simple merger under Article 796, Paragraph 2 of the Companies Act for Sun Frontier Fudousan and a summary merger for Navd Inc. under Article 784, Paragraph 1, meaning no shareholder meetings will be held for approval. The merger is not expected to materially impact Sun Frontier Fudousan's consolidated financial results, and there will be no changes to its trade name, head office, representatives, business description, capital, or fiscal year-end.