September 29, 2021
To whom it may concern:
Company Name: Sumitomo Heavy Industries, Ltd.
Representative: Shinji Shimomura, Representative
Director & President(Listed on TSE 1st Section under Code No.6302)
For any question or inquiry please contact:
Ms. Michiko Watanabe, General Manager,
Corporate Communications Dept.
(Telephone 03-6737-2333)

Notice of an absorption-type merger with a consolidated subsidiary
Please be notified that at its board meeting held today the Company has resolved to merge with and absorb our100-percent-owned subsidiary, Sumiju Business, Ltd. effective on April 1, 2022. Because this merger is asimplified, absorption-type merger with our consolidated subsidiary, we provide below related disclosure items
and information in a partially abbreviated manner.

1. Purpose of Merger
Within our Company group the Precision Equipment Group is engaged in the global operation of themanufacturing and sales business of various types of industrial precision machinery. On this occasion we havedecided to merge with and integrate Sumiju Business, Ltd. into our Precision Equipment Group for the purposeof consolidating our group’s precision machinery-related business resources into Sumitomo Heavy Industries
thereby strengthening the manufacturing infrastructure and improving the competitiveness of the products.
2. Summary of Merger(1) Merger timeline
September 29, 2021: A board meeting is held to approve the merger agreement.
September 29, 2021: The merger agreement is executed.
April 1, 2022: The merger is planned to become effective (effective date of merger)※This merger is a simplified merger defined in Article 796, Paragraph 2 of the Companies Act as well asa short-form merger defined in Article 784, Paragraph 1 of the same Act. Consequently, the merger iscarried out without the approval of a general shareholders’ meeting to be held at each of the surviving
company and the non-surviving company.
(2) Type of Merger
This is an absorption-type merger whereby the Company becomes the surviving company while Sumiju
Business, Ltd. is dissolved.
(3) Post-merger allotment of sharesThis is a merger by the Company with its wholly-owned subsidiary and therefore no new shares will beissued and no cash payment will be made.
(4) Treatment of stock options or convertible bonds if applicable in the merger
Not applicable.

13. Overview of the parties to the merger (as of March 31, 2021)(2) Line of business

Sumitomo Heavy Industries, Ltd.
(as the surviving company)
Manufacture and sales of diverse sorts ofindustrial machines ranging from generalindustrial machinery to precision control
machinery

Sumiju Business, Ltd.
(as the non-surviving company)
Manufacture and sales of precision
machined parts for cryogenic & vacuum
components and industrial machinery(3) Date ofNovember 1, 1934

April 20, 1960

1-1 Osaki 2-chome, Shinagawa-ku, Tokyo

2-1-1 Yato-cho, Nishitokyo-shi, Tokyo

Shinji Shimomura,Yoshio Ikawa

Representative Director & President

Representative Director & President(6) Capital

30,872 million yen

50 million yen(7) Number of

122,905,481

92,500(8) Closing date

March 31

March 31

(9) Number of

24,050 (consolidated)

29

The Master Trust Bank of Japan, Ltd.
(Trust Account) (10.6%);
Custody Bank of Japan, Ltd.
(Trust Account) (6.4%);
NORTHERN TRUST CO. (AVFC) RE
SILCHESTER INTERNATIONALINVESTORS INTERNATIONALVALUE EQUITY TRUST (5.4%);
Sumitomo Life Insurance Company (3.5%);
NORTHERN TRUST CO. (AVFC) RE
U. S. TAX EXEMPTED PENSIONFUNDS (3.3%).

Sumitomo Heavy Industries, Ltd.
(100%).

(1) Trade nameestablishment(4) Head officelocation(5) Representative

shares issued

employees(10) Major
shareholders andpercentage ofownership(11) The financial condition and the earnings of the immediately preceding business year (ended March 2021)
Net assets

504,928 million yen (consolidated)

570 million yen

Total Assets

1,030,684 million yen (consolidated)

729 million yen

Net assets per share

4,005.43 yen (consolidated)

6,160.26 yen

Sales

849,065 million yen (consolidated)

758 million yen

Operating income

51,342 million yen (consolidated)

86 million yen

Ordinary income

49,544 million yen (consolidated)

86 million yen

Net income

26,764 million yen (consolidated)

58 million yen

Net income pershare

218.46 yen (consolidated)

623.51 yen

4. The Company’s situation subsequent to the merger
The merger will cause no change in the trade name or address of the Company, the title, position or name ofits representative, or its business operations, capital or closing period.

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5. Effect on the Company performance
The merger is a merger between the Company and its consolidated subsidiary and therefore it will not affect
the Company’s consolidated earnings.
End3