Investment in improving corporate value of Toshiba

Chubu Electric Power has decided to invest 100 billion yen in TB Investment Limited Partnership ("Partnership") as a limited partner, upon being notified by the Partnership that the tender offer for Toshiba Corporation (Head Office: Minato-ku, Tokyo; President and CEO Taro Shimada; "Toshiba") has been completed.

Since its foundation, Toshiba has supported important infrastructures by supplying foundation products for core infrastructure and industries in many businesses. It has provided value also for the energy and infrastructure field which is the foundation of the Chubu Electric Power Group, in a wide range of areas such as nuclear power, thermal power, renewable energy, power transmission and distribution, and social infrastructure business.

Japan Industrial Partners, Inc. (Head Office: Chiyoda-ku, Tokyo; Director & CEO: Hidemi Moue; "JIP") and its group companies established the Partnership to acquire Toshiba's shares and take it private with a tender offer through an investment vehicle and improve the corporate value of Toshiba and its group companies. Chubu Electric Company has decided on the investment upon agreeing with such purpose of establishment.

The investment is assessed to significantly improve the corporate value of Toshiba by building a stable management foundation and executing consistent business strategies in the mid to long-term to realize the potential growth rate of Toshiba, under the investment consortium framework formed by JIP. It is believed to be a significant investment opportunity with expectations for a reasonable return.

The main purpose of the investment is to "support Toshiba go private and solve the issues they face". There is no agreement with the investee regarding collaboration with Toshiba or participation in its management, nor it is a condition of the investment. On the other hand, Chubu Electric Power believes collaboration is an important choice in management in realizing Group Management Vision 2.0. Toshiba's energy system solution business, infrastructure system solution business and digital solution business have high affinity with Chubu Electric Power. We believe there is potential to create various synergies if there are opportunities for collaboration and cooperation in the future, but at this point, there are no specific agreements and finalized policies regarding this.

Chubu Electric Power will steadily implement initiatives presented in Group Management Vision 2.0 and complete our unchanging mission of stably delivering high-quality energy at a low cost. At the same time, we will expand business areas beyond the energy business and challenge building a new business model such as delivering added-value services, thereby contributing to sustainable development of the local community.

The investment has minor impact on the consolidated financial results for the current fiscal year, but we will promptly disclose any matters that should be made public.

<Reference>Overview of the investee