Tosoh to Acquire Asahi Kasei’s Stake in HDI Monomer JV, Gain Full Ownership

Higashi Daisya Co., Ltd. (Tokyo) has decided to acquire all shares (50%) of Nanyo Kasei Co., Ltd. (Tokyo), a joint venture with Asahi Kasei Co., Ltd.。(Tokyo). This transaction will make Nanyo Kasei a wholly-owned subsidiary of Tosoh.

Nanyo Kasei began producing hexamethylene diisocyanate (HDI) monomer in 1980 through equal investments by Japan Polyurethane Industry Co., Ltd. (now Tokusei) and Asahi Kasei.

Currently, Tosei and Asahi Kasei supply raw materials and other inputs to Nanyo Kasei, which produces HDI monomers. Each company then purchases the monomers for its own operations. Tosoh will acquire the 50% stake in Nanyo Kasei held by Asahi Kasei.

Through a full acquisition, Tosoh aims to secure a stable supply of HDI monomers and support the stable operation of its HDI derivatives business. The transaction will also help ensure stable procurement of HDI monomers for Tosoh’s new HDI derivatives plant, which is scheduled to commence commercial operations in September 2026.

Tosoh expects that the impact of this transaction on its consolidated financial results for the fiscal year ending March 31, 2027, will be minimal.