Nichirin expands India presence, launches restricted stock incentive for management

Nichirin, a manufacturer of automotive hose assemblies, announced the establishment of NICHIRIN FLEX INDIA PRIVATE LIMITED, a wholly-owned subsidiary in India. Scheduled for establishment in January 2026 and operations commencing in 2028, this new entity will focus on manufacturing and selling automotive hose bodies for air conditioning and brakes, alongside material procurement. This builds upon Nichirin's existing joint venture, NICHIRIN IMPERIAL AUTOPARTS INDIA PRIVATE LIMITED, established in April 2019, which primarily handles the assembly and sale of automotive hoses. The new subsidiary aims to strengthen the local manufacturing and sales system and optimize material procurement.

Concurrently, Nichirin's board of directors approved a restricted stock incentive plan for 64 management employees. This initiative, effective December 10, 2025, involves the disposition of 3,720 shares of Nichirin common stock, valued at JPY 3,710 per share, totaling JPY 13,801,200. The shares will be acquired by employees using monetary compensation claims provided by the company, with restrictions on transfer until retirement to align employee interests with sustainable corporate value enhancement.

The establishment of NICHIRIN FLEX INDIA PRIVATE LIMITED is expected to have a minor impact on Nichirin's consolidated performance for the fiscal year ending December 2025.