June 26, 2019
Company name:
Representative:

Inquiries:
Tel:

ES-CON Japan Ltd.
Takatoshi Ito, President &Representative Director(TSE 1st Section, code: 8892)
Minoru Nakanishi, Senior
Managing Director+81-6-6223-8055

Notice on Acquisition of (Shares of) One's Own House Co., Ltd. and Rise Home Co., Ltd.
ES-CON Japan Ltd. (ES-CON Japan) announces that a decision was made at the board of directors
meeting held today to acquire the shares of One's Own House Co., Ltd. (hereinafter "One's Own House"),which sells detached houses mainly in Saitama Prefecture, and Rise Home Co., Ltd. (hereinafter "RiseHome"), which builds detached houses, making them subsidiaries, as follows.
1. Reasons for Acquiring Shares
ES-CON Japan decided to acquire 100% of the shares of two Saitama-based companies with the aim ofstrengthening its real estate development business centered on condominiums and detached houses inSaitama.
One's Own House sells around 40 detached houses per year while Rise Home builds around 60 per year.
Saitama Prefecture, where the two companies operate, has an annual population growth rate second onlyto that of Tokyo1. In fiscal 2018, the apartment supply increased 8.5% year on year, the second-highest
growth rate in the Tokyo metropolitan area after Chiba2. This makes Saitama an attractive market in themetropolitan area where steady growth is expected as a commuter region for central Tokyo. Based on this,
we believe that strengthening our real estate business in Saitama will also contribute to greater businessexpansion in the metropolitan area.
Currently, based on our second medium-term management plan, "IDEAL to REAL 2019" (over the threeyear period from 2017 to 2019), we are following a basic philosophy of customer-first business, fulfilling ourmission as a “life developer” that facilitates living itself, and carrying out business as a company neededby society. This acquisition of subsidiaries will contribute to the further evolution and growth of our group.
1. Source: Population estimates of Ministry of Internal Affairs and Communications' Statistics Bureau (as of October 1, 2017)
2. Source: Metropolitan Area Apartment Market, Real Estate Economic Institute Co., Ltd.

2. Details of Transitioning Subsidiaries(1) One's Own House① Trade nameOne's Own House Co., Ltd.
② Address

1-76-3 Onaricho, Omiya-ku, Saitama-shi, Saitama Prefecture③ Title/name of representative

Representative Director Masanobu Kaga
Detached house sale, used house resale, real estate brokerage,etc.
30 million yen④ Business⑤ Capital⑥ Date of establishment
Major shareholders and⑦shareholding ratio⑧

Relationship between ESCON Japan and said company

June 11, 2001
Masanobu Kaga: 100%
Capital relationship

Not applicable

Personnel relationship

Not applicable-1-Business relationship

Not applicable⑨ Business results of company over last three years (Unit: Million yen)
Fiscal year end

June 2016

Net sales

June 2017

June 2018

2,097

2,139

2,114

Operating income

121147163

Ordinary income

106133152

Net profit

8186104

Net assets

295381

486

Total assets

1,382

1,250

1,948

(2) Rise Home
① Trade nameRise Home Co., Ltd.

② Address

1-76-3 Onaricho, Omiya-ku, Saitama-shi, Saitama Prefecture③ Title/name of representative

Representative Director Masanobu Kaga

④ BusinessHouse construction, etc.

⑤ Capital

10 million yen⑥ Date of establishment
Major shareholders and⑦shareholding ratio

March 3, 2005Masanobu Kaga: 100%

Relationship between ES-CON⑧Japan and said company

Capital relationship

Not applicable

Personnel relationship

Not applicable

Business relationship

Not applicable⑨ Business results of company over last three years (Unit: Million yen)
Fiscal year end

February 2017

February 2018

February 2019

Net sales

807

973

1,154

Operating income

6583

107

Ordinary income

6280

102

Net profit

465267

Net assets

192

245

313

Total assets

761

819

1,116

3. Details of Share Acquisition Counterparty① Trade name
② Address
Relationship between listed company and③said individual

Masanobu Kaga
Saitama-shi, Saitama Prefecture
Not applicable-2-4. Number of shares acquired and share ownership before/after acquisition(1) One's Own House① Number of shares owned before transition
0 shares (shareholding ratio: 0%)② Number of shares acquired

600 shares③ Number of shares owned after transition

600 shares (shareholding ratio: 100%)(2) Rise Home
① Number of shares owned before transition

0 shares (shareholding ratio: 0%)② Number of shares acquired

200 shares③ Number of shares owned after transition
200 shares (shareholding ratio: 100%)*The acquisition price is not indicated based on the will of the counterparty. However, it is equal to or lessthan 15% of ES-CON Japan’s consolidated net assets at the end of the previous consolidated fiscal year.

5. Schedule① Date of execution

June 26, 2019

② Date of share transfer

July 1, 2019 (planned)

6. Future outlook
The impact of this share acquisition on ES-CON Japan’s consolidated results for the current fiscal period
is negligible.

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