Notice on Acquisition of Land in the Philippines
Our Board of Directors has resolved at a meeting today regarding the land acquisition of our consolidated subsidiary, PMI Holdings, Inc.
1. Purpose of land acquisition
Pricon Microelectronics, Inc., our group’s consolidated subsidiary in the Philippines, will construct a new manufacturing plant (Plant 3) to increase its production capacity. With this plant, the consolidated subsidiary will establish a stable supply system for semiconductor test sockets in response to the growing global demand for semiconductors and respond more quickly to diversifying customer needs for automotive, telecommunications, and industrial equipment.
The construction timing of the new production plant has not yet been determined and will be disclosed as soon as it is determined.
2. Details of acquired assets
| Location | Lots 1-2 Block 5 Elysan Road, Light Industry & Science Park IV (LISP IV), Brgy. Bulihan, Malvar, Batangas Philippines |
| Land area acquired | 33,696 m2 |
| Real estate price | 350 million Philippine pesos (approximately 900 million yen) |
| Financing plan | Self-financing |
Reference: Total site area of the Plant 1 currently in operation and the adjacent Pant 2 in Philippines: 18,595 m2
3. Outlook for business performance
The impact of the land acquisition on our business results for the current fiscal year is expected to be negligible. In the future, we will promptly disclose any matters that should be opened.
