ORIX Acquires Shares in Foundation Pile Construction Company Sansha

TOKYO, Japan - July 4, 2024 - ORIX Corporation ("ORIX") announced today that it has acquired all shares of Sansha Co., Ltd. ("Sansha") in order to support it in taking on business succession such as nurturing successors and achieving sustainable business growth.

Sansha is a construction contractor with a business history stretching back to 34 years, engaged in foundation piling work for reinforcing the foundations of buildings primarily in the Kansai area. It has strengths in foundation work for large facilities such as factories and warehouses, and in addition to owning several state-of-the-art large piling machines, it also has experienced craftsmen and qualified staff, giving it high technical capabilities and a proven track record. In recent years, with the increase in size of factories, data centers and logistics facilities, stronger foundations are required to support buildings, and expansion of the business is expected in the future.

ORIX will leverage its expertise in resolving management issues to further strengthen the company's governance system, nurture next-generation management and recruit human resources, and support the company's medium- to long-term growth in various ways through the ORIX Group's sales and marketing network, such as by developing sales channels.

As government policies to promote business succession and productivity improvement of small and medium-sized enterprises advance, about 90% of company top executives that will suspend, close, or dissolve in fiscal 2023 are in their 60s or older, and the average age is 72 years old^*1, which is the aging population. The number of bankruptcies due to a lack of successors also increased by about 11% from the previous year to reach a record high of 456 cases^*2, and many small and medium-sized enterprises are giving up on continuing their business due to delays in preparing for nurturing successors and business succession.

ORIX possesses a specialized team that responds to the business succession needs of small and medium-sized enterprises, and is providing M&A intermediary services and business succession support. Going forward, ORIX will respond to companies' management issues and contribute to the revitalization of regional economies.

*1 Source: Tokyo Shoko Research "TSR Data Insight: 49,700 cases of suspension, closure, and dissolution in 2023, the highest ever, worst deficit rate ever, and higher ever number of exiting companies due to increase in bankruptcies"(in Japanese)
*2 Source: Tokyo Shoko Research "TSR Data Insight: preparations for succession urgent as serious difficulties lead to bankruptcies with 456 cases recorded in 2023; 80% of cases due to death, poor health of representatives"(in Japanese)

■Case studies: providing support for business succession to small and medium-size enterprises

• TOKYO SOIL RESEARCH CO., LTD. (Meguro-ku, Tokyo; President: Katsuhiko Tsujimoto)
  Founded 58 years ago, Tokyo Soil Research is a ground survey company that expects to see increased business opportunities going forward. The company transferred its shares to ORIX in March 2019 with the aim of strengthening its management systems and furthering business growth^*3.
• Medical Corporation Junseikai (Shinjuku-ku, Tokyo; Managing Director: Minoru Tahara)
  Junseikai is a medical corporation that has operated Hirooka Clinic for 29 years. Following the retirement of its founder, the company sought to create an environment that would allow it to focus on its medical management activities; to this end, in December 2019 it entrusted its management consulting work to CMC Corporation, an ORIX consolidated subsidiary that provides management support services to medical institutions^*4.
• Keisoku Net Service Co., Ltd. (Kita-ku, Tokyo; CEO: Hiroaki Ogino)
  A measurement system development and rental company with 26 years of experience. In December 2020, the company transferred its shares to ORIX in order to further strengthen its management systems, including nurturing a new generation of executives capable of guiding the company forward^*5.

*3 Acquires Shares in Two Companies to Support Business Succession (April 5, 2019)
*4 Contracted Management Consulting Services from a Medical Corporation in Tokyo (December 26, 2019)
*5 ORIX Acquires Shares in Measurement Device Rental Company Keisoku Net Service (December 25, 2020)

Contact Information:
Investor Relations and Sustainability Department
ORIX Corporation
Tel: +81-3-3435-3121

About ORIX Group:
ORIX Group (ORIX Corporation TSE: 8591; NYSE: IX) was established in 1964 and has grown from its roots in leasing in Japan to become a global, diverse, and unique corporate group. Today, it is active around the world in financing and investment, life insurance, banking, asset management, real estate, concession, environment and energy, automobile-related services, industrial/ICT equipment, ships and aircraft. Since expanding outside of Japan in 1971, ORIX Group has grown its business globally and now operates in around 30 countries and regions across the world with approximately 34,000 people. ORIX Group unites globally around its Purpose: "Finding Paths. Making Impact." combining diverse expertise and innovative thinking to help our world develop in a sustainable way.
For more details, please visit our website: https://www.orix.co.jp/grp/en/
(As of March 31, 2024)

Caution Concerning Forward Looking Statements:
These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results that differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under "Risk Factors" in the Company's annual report on Form 20-F filed with the United States Securities and Exchange Commission and under "(4) Risk Factors" of the "1. Summary of Consolidated Financial Results" of the "Consolidated Financial Results April 1, 2023 - March 31, 2024" furnished on Form 6-K.