Section 4. Further Strengthening of the Corporate Structure and Group Reorganization

Tanshin Building Services Co., Ltd., established in 1986, started providing air conditioning equipment management services in addition to fire prevention equipment inspection services, and it was hired to provide equipment security services and electrical security management services as well. In 2013, it became a wholly owned subsidiary of MOL Kosan and a member of the Daibiru Group.

Nishinihon Sogo Setsubi Co., Ltd., a provider of general building management services established in May 1967, became a wholly owned subsidiary of MOL Kosan and a member of the Daibiru Group in November 2016. The purpose of MOL Kosan’s M&A activities has been to improve the profitability of the group as a whole by keeping equipment maintenance services within the group to improve cost competitiveness, by enhancing proposal-based sales, by expanding the areas in which we do business, and by ensuring that the group’s human resources are mutually complementary.

Nowatec Co., Ltd., established in July 1993 in order to provide design, installation, and maintenance services for automatic control devices for air conditioning equipment, sanitation equipment, and electrical equipment, became a wholly owned subsidiary of MOL Kosan and a member of the Daibiru Group in August 2020. This acquisition was based on the determination that Nowatec’s advanced technological capabilities in the areas of automatic control and electrical work would provide a highly synergistic effect for a general building management company and contribute to profitability.