Aizawa Securities subsidiary boosts capital, reshuffles ownership

Aizawa Securities Group Co., Ltd. announced a capital increase and reduction for its consolidated subsidiary, Aizawa Asset Management Co., Ltd., approved by the board of directors on October 23, 2025. This move, subject to shareholder approval on October 31, 2025, will see a 100 million yen capital injection, comprising 50 million yen in share capital and 50 million yen in legal capital surplus. Despite the increase, a simultaneous capital reduction of 50 million yen will keep the total share capital at 95 million yen, with the reduced amount reclassified to other capital surplus.

The primary purpose of this dual action is to enhance Aizawa Asset Management's capital base for new business initiatives. Cornwall Master LP will subscribe to the new shares, leading to a shift in ownership ratios. After the capital increase, Aizawa Securities Group Co., Ltd.'s ownership will decrease from 85.00% to 46.36%, while Cornwall Master LP's stake will rise from 7.48% to 49.54%.

Despite the reduced ownership, Aizawa Asset Management will remain a consolidated subsidiary, as Aizawa Securities Group Co., Ltd. will continue to second officers. The restructuring is scheduled for an effective date of November 26, 2025, and is expected to have a minimal impact on consolidated business results.