Krosaki Harima to absorb wholly-owned subsidiary JGP

Krosaki Harima Corporation's board of directors approved a merger agreement on September 30, 2025, to absorb its wholly-owned subsidiary, Japan General Product Co., Ltd. (JGP), effective January 1, 2026. This move aims to consolidate group management resources, expedite decision-making, and enhance operational efficiency to boost corporate value. As Krosaki Harima owns all of JGP's outstanding shares, no new shares will be issued, nor will any consideration be exchanged.

Post-merger, Krosaki Harima will remain the surviving entity, continuing its operations in refractories, furnace, ceramics, and real estate, with its capital unchanged at JPY5,537 million. The merger is expected to have a minor impact on Krosaki Harima's consolidated financial performance.

For the fiscal year ended March 2025, Krosaki Harima reported consolidated net assets of JPY101,640 million and sales of JPY177,921 million, with a net profit attributable to parent company shareholders of JPY12,535 million. JGP's standalone figures for the fiscal year ended December 2024 showed net assets of JPY315 million and sales of JPY1,112 million, with a net profit of JPY19 million.