Cosmo Energy Holdings to absorb wholly owned subsidiary for productivity boost

Cosmo Energy Holdings Co., Ltd. announced a resolution by its Board of Directors to absorb its wholly owned subsidiary, Cosmo Business Associates Co., Ltd., through an absorption-type merger, effective April 1, 2026. This streamlined merger aims to integrate shared service functions into the parent company's administrative division, enhancing overall productivity.

Cosmo Business Associates, which provides services like accounting and human resources, will be dissolved following the merger. As the acquiring company, Cosmo Energy Holdings will not issue new shares or other consideration. This strategic move is not expected to impact the consolidated earnings of Cosmo Energy Holdings.

The merger process involves board approval and contract signing on December 23, 2025, with the merger becoming effective on April 1, 2026. This is a simplified merger under Japanese law, bypassing the need for shareholder approval from either company.