The Company held its board of directors meeting held on March 4, 2022, the Company resolved to acquire a part of the shares of Kingrun Co., Ltd. and to make the company a consolidated subsidiary at the board of directors meeting held on April 27. The company plans to join the group from July 2022.
Kingrun Co., Ltd. and its subsidiaries are pioneers in the curtain leasing and sales business for medical and nursing care facilities, and also develop comprehensive equipment support business, renewal business, and medical meal service business, etc.. Their strength is relationship building with customers in the medical and nursing industry for medium- to long-term. Our strength is medium- to long-term relationship building.
By welcoming the company to the group, we will share the product strength and broad customer base that the group has cultivated so far, and create synergistic effects with the entire group, including the Total Pack Produce business, to further companies. We will continue to improve our corporation value.

With the participation of the Kingrun Group, which has a broad customer base of approximately 11,000 facilities in the medical and nursing care fields and diverse resources, we will strive to maximize synergies including expanding profit opportunities and improving the efficiency of our business and operations.

Our business field	Resources from Kingrun Group	Expected synergies (examples)
TPP Hospital projects	Business opportunities for curtain Construction specialists (many construction management engineers)	Progress information and sales needs of the projects Renewal information, MF (Medical Facility) sales / construction management department enhancement, space design / receiving custom furniture orders, etc.
LC Nursing care facilities	Opportunities for curtain sales Rental and leasing business of welfare vehicles Know-how sharing / staff education system Move-in promotion / human resources exchange	Business opportunities for the sales of nursing bathtubs (for Sakai Medical in the Group) In-house production of welfare vehicles and cost reduction Efficiency of recruitment and education of employees Enhancement of area management
LC Food supply service business	Development of food supply in healthcare area Enchantment of Central kitchens	Cost reduction by standardizing purchasing Improvement of occupancy rate and production efficiency

Collaboration and synergies in food supply service business

A group company of Kingrun Co., Ltd. has a central kitchen and develops medical meal business. We will promote efficiency and quality improvement through outsourcing in the group and joint utilization of equipment with the existing food supply service business and Chuo Co., Ltd., which has newly joined the group.

Profile of Kingrun Co., Ltd.

Company name	Kingrun Co., Ltd.
Address	1-10 Kanda Sudacho, Chiyoda-ku, Tokyo
Representative	President Tatsuya Matsubara
Business	Curtain leasing and sales for medical facilities/nursing care facilities, furniture/equipment/facility comprehensive support, cleaning, reform, welfare vehicle sales, nursing care home management, medical meal service, agriculture, energy saving
Capital	305 million yen (as of the end of May 2022)
Establishment	April 28, 1972