(Note)

This document has been translated from the Japanese original for reference purposes only. In theevent of any discrepancy between this translated document and the Japanese original, the original shall prevail.

September 21, 2023
Company Name: Tokuyama Corporation
Representative Name: Hiroshi Yokota,
Representative Director, President and Executive Officer(Code No. 4043, Prime Market, TSE)
Contact: Tetsuya Nakano, General Manager
Corporate Communications & Investor Relations Dept.
TEL: +81-3-5207-2552

Notice concerning Absorption-type Merger (Simplified, Short Merger) of ConsolidatedSubsidiary
With a resolution at a meeting of Board of Directors held on September 21, 2023, Tokuyama Corporation(hereinafter referred to as “the Company,” “Tokuyama” or “we”) hereby announces that the Company will
absorb Shin Dai-ichi Vinyl Corporation (hereinafter referred to as “Shin Dai-ichi Vinyl”), the Company’s wholly
owned subsidiary, effective April 1, 2024.
Since the merger is simplified merger of a wholly owned subsidiary, therefore certain disclosure items anddetails are omitted.

1. Purpose of Merger
Shin Dai-ichi Vinyl manufactures and sells vinyl chloride resin using our products as raw materials.
The Company has decided to absorb Shin Dai-ichi Vinyl to achieve the better operation of the business ofchlor-alkali.
2. Outline of Merger(1) Schedule of Merger･ Resolution of the Company’s Board of Directors relating tothe merger

September 21, 2023

･ Conclusion of merger agreement

September 21, 2023 (planned)

April 1, 2024 (planned)･ Date of merger (effective date)
Note: The merger is, for the Company, a simplified merger under the provisions of Paragraph 2 of Article
796 of the Company Act. Therefore, the Company will not hold a general meeting of shareholders
to carry out the merger.
The merger is, for Shin Dai-ichi Vinyl, a short form merger pursuant to Article 784 Paragraph 1 ofthe Companies Act. Shin Dai-ichi Vinyl has held a general meeting of shareholders to carry out themerger today and it has been approved.
(2) Method of Merger
It is an absorption-type merger in which the Company is the surviving company, and Shin Dai-ichi Vinyl will
be dissolved.
1(3) Allotment Details pertaining to Merger
The Company, which owns all outstanding shares in Shin Dai-ichi Vinyl, neither grants nor allots any shares orother consideration included money pertaining to the merger.
(4) Treatment of stock acquisition rights and bonds with stock acquisition rights of the merged company
Not applicable.
3. Overview of the Companies involved in Merger
Surviving company
Company being merged(1) Company Name
Tokuyama Corporation
Shin Dai-ichi Vinyl Corporation(2) Location
1-1 Mikage-cho, Shunan City, Yamaguchi 7-5 Sotokanda 1-chome, Chiyoda-ku,
Tokyo(3) Name and Title ofHiroshi Yokota, Representative Director, Hirotaka Nishihara, Representative
Representative
President and Executive Officer
Director and President(4) Description of
Production and sales of inorganic and・Production and sale of PVC resin
Businessorganic industrial chemicals,・Technical licensing and technicalcement ,building materials, electricalguidance related to the above
materials, life science, eco business(5) Capital
10,000 million yen
2,000 million yen(6) Establishment
February 1918
July 1995(7) Number of
72,072,056 shares
5,000 shares
Outstanding Shares(as of March 31, 2023)(as of March 31, 2023)(8) Fiscal Year EndMarch 31March 31(9) Major Shareholders
The Master Trust Bank of Japan, Ltd.
Tokuyama Corporation
100%
and Ratios of(trust account)
16.94%
Shareholding
Custody Bank of Japan, Ltd.
(trust account)
7.14%
Nippon Life Insurance Company
3.01%
The Yamaguchi Bank, Ltd.
2.28%
GOLDMAN SACHSINTERNATIONAL
2.14%(as of March 31, 2023)(10) Financial Position and Results in Preceding Fiscal Year (Unit: Millions of yen, except per share amounts)
Fiscal year ended March 31,
Fiscal year ended March 31,2023(Consolidated)
2023 (Non-consolidated)
Total Assets
478,342
15,235Net Assets241,602
8,057
Net Assets per share
3,189.01
1,611,546.72
Sales
351,790
24,263Operating Income
14,336
1,606
Ordinary Income
14,783
1,691
Profit (Loss)
9,364
1,896
Earnings (Loss) per share
130.15379,321.07
4. Conditions after Merger
The merger does not affect the Company’s name, location, representative’s title and name, business content,
paid in capital or fiscal year end.
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5. Future Outlook
Since the merger only involves the Company and its wholly-owned subsidiary, and has no significant impact
on the consolidated financial results of the Company, its impact on consolidated business performance of thefiscal year ending March 31, 2024 will be negligible.
Reference: Consolidated Performance Forecast for the Fiscal Year Ending March 31, 2024 (released on April28, 2023) and Actual Result of the Fiscal Year Ended March 31, 2023.
Profit (Loss)
OperatingOrdinary
attributable to
Net Sales
IncomeIncomeowners of parent
Consolidated earnings
Millions of Yen
Millions of Yen
Millions of Yen
Millions of Yen
forecast for FY ending
380,000
30,00030,00022,000March 31, 2024
Actual result for FY ended
351,790
14,336
14,7839,364March 31, 2023(Note) The performance forecast and other forward-looking statements contained in this material have been preparedon the basis of information available at this point and certain assumptions which are judged to be rational, andmay be substantially different from the actual performance because of various factors that may arise from nowon.

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