Energy Power Subsidiary Acquires Assets for Battery Storage Business

TOKYO, Jul 14 (Pulse News Wire) – Energy Power CO.,LTD. (144A.T) announced that its subsidiary, Kita-Gifu Mega Power Co., Ltd., has decided to acquire fixed assets necessary for battery storage operations and secure funding through borrowing.

The acquisition includes a system capable of generating power and participating in supply-demand adjustment markets, located in Osaka with an area of approximately 663 square meters. The asset's capacity is rated at 1,979 kW and 7,521 kWh, with an estimated cost of about ¥653 million (excluding tax). Financing will come from bank loans and internal funds. Kita-Gifu Mega Power secured a commitment-term loan agreement with Kiho Bank, with a limit of ¥700 million and an interest rate based on TIBOR plus 1.300%. The contract was signed on April 20, 2026, with a term from April 20, 2026 to April 30, 2037 (commitment period from April 20, 2026 to April 30, 2027).

Repayment will occur monthly beginning four months after the commitment period ends, totaling 117 installments. Energy Power CO.,LTD. will act as a joint guarantor for the loan. Construction is scheduled to begin in August 2026 and is expected to conclude by February 2027, with commercial operation anticipated in August 2027. The impact on fiscal 2026 performance is expected to be minor.

The company plans to transition to consolidated accounting from August 2026 but has yet to finalize its forecast for the fiscal period.