MITSUI-SOKO Co., Ltd. (“Mitsui-Soko”) announces that the board of directors has resolved at a meeting held on February 27, 2012 to enter into an agreement to acquire, as described below, the entire stake in SANYO Electric Logistics Co., Ltd. (“SEL.”) 

Mitsui-Soko aims to accelerate further growth and formulated mid-term management plan, “New Growth Strategy @2010,” to achieve this goal. Mitsui-Soko focuses on the development of business which will be a source of future growth, including Third Party Logistics business (3PL.). Mitsui-Soko is also focused on the improvement of service as well as the expansion of their customer base in the Domestic Logistics business via a fundamental shift from conventional methods.

SEL has established a solid operational base in third party logistics in Japan, especially in the consumer electrics retailing sector. SEL also has a platform in IT infrastructure and logistics networks. Mitsui-Soko thinks that the SEL platform, as well as its client-focused IT infrastructure and logistics networks, would enable Mitsui-Soko to strengthen its own logistics platform. SEL has a customer base to end-users with its focus on consumer electronics, and Mitsui-Soko believes that this could bring further growth potential for expanding its customer base with enhancement of end-users distribution channel.

Mitsui-Soko will acquire 100% of 3PL Holdings which owns a 95% stake in SEL, from The Longreach Group, and will acquire the remaining 5% stake in SEL from SANYO Electric Co.,Ltd. and warrants from Chuo Mitsui Private Equity Partners 7 and Chuo Mitsui Private Equity Partners 7 Alpha, which are managed by Chuo Mitsui Capital Company Limited. Upon completion of the acquisition, Mitsui-Soko will, either directly or indirectly, obtain 100% ownership in SEL.

Mr. Tsutomu Asano, current CEO of SEL, and other management will remain in their current positions and aim to provide the best, valuable, high quality services to its clients.

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