Moriroku Company to Prepay Syndicated Loan Before Due Date

TOKYO, Aug 06 (Pulse News Wire) – Moriroku Company,ltd. (4249.T) announced plans to prepay a syndicated loan ahead of schedule to strengthen its financial position for future strategic initiatives.

The loan was originally scheduled to mature on March 31, 2033, but will now be fully repaid by September 30, 2026, through a bridge loan arrangement with financial institutions. Key details of the syndicated loan include: - Execution date: March 27, 2026 - Borrowing date: April 01, 2026 - Parties involved: Six banks including urban, regional, and trust banks - Principal amount: ¥15.00 billion - Financial covenants: Maintain consolidated net assets at least equal to either 120% of the total amount recorded in the balance sheet as of March 31, 2025, or 110% of the total amount recorded in the latest annual balance sheet, whichever is higher. Ensure two consecutive fiscal years show operating profit rather than losses.

Limit the ratio of interest-bearing liabilities to the sum of operating profit and depreciation expenses to seven times or less. This prepayment is expected to reduce interest payments in subsequent accounting periods. There will be no extraordinary gains or losses associated with this action.

Moriroku will promptly inform stakeholders of any further adjustments to the syndicated loan agreement.