SHIFT subsidiary acquires ESCCO Japan's insurance system development business

SHIFT Inc., through its wholly-owned subsidiary SHIFT Growth Capital Inc. (SGC), is acquiring all shares of AXIS Inc., a newly established company formed from a split of ESCCO Japan Co., Ltd. This acquisition, finalized on December 15, 2025, and effective February 1, 2026, aims to integrate ESCCO Japan's system development business for the Japanese insurance industry into the SHIFT Group. The acquisition price for the 100 shares of AXIS Inc. is 710 million yen.

The acquired business generated 786 million yen in net sales and 269 million yen in operating profit as of December 31, 2024. This strategic move strengthens SHIFT's capabilities in delivering comprehensive system development and quality assurance services across diverse industries, particularly within the insurance sector. SHIFT anticipates this acquisition will foster further growth by leveraging AXIS Inc.'s expertise and client relationships.

SHIFT expects the impact of this acquisition on its consolidated financial results to be minor. However, the company will promptly disclose any material changes should business conditions shift significantly.