Regarding the Business Transfer of the Power Tool Business

Panasonic Electric Works Co., Ltd. (hereinafter, Panasonic Electric Works), on March 24, 2026, concluded a share transfer agreement to transfer its power tool business (hereinafter, this business) to a newly established successor company of Panasonic Electric Works, and then transfer all shares of that company to Makita Corporation (hereinafter, Makita). With the completion of related procedures, this was announced today, March 31, 2026.

This transaction will be carried out under a scheme where Panasonic Electric Works transfers this business to the successor company through a company split, and then transfers all issued shares of the successor company to the transferee company. Assets, contracts, and employees necessary for business operations will be transferred to the successor company.

In addition, some manufacturing and sales functions related to this business held by Panasonic Group affiliated companies located overseas will be transferred to Makita's affiliated companies.

Since its establishment in 1979, Panasonic Electric Works has developed this business for over 45 years. Starting with the launch of Japan's first (※) rechargeable power tool in 1979, it was the first to equip impact drivers with brushless motors in 2004 (※), launched impact drivers with torque control functions in 2008, and torque measurement impact wrenches in 2021, contributing to the innovation of professional work styles through its unique technology. In recent years, in addition to specializing in the electrical construction market, it has been making full-scale entry into the assembly manufacturing factory line market. For both of these markets, it is globally expanding solution businesses through power tools that directly reduce the burden on workers.

Going forward, to enhance the competitiveness of this business and achieve further growth in a continuously growing market, continuous investment and strengthening of the global customer platform are indispensable. However, Panasonic Electric Works is focusing on solution businesses centered on electrical equipment and digital technology, making it difficult for Panasonic Electric Works to continuously invest in this business at the scale and speed necessary for further growth. In this situation, it was determined that the best way to further accelerate the growth of this business is to integrate Makita's business operational capabilities, which possess a global top-class customer base, sales and service network, and diverse product lineup, with the technical capabilities of Makita and Panasonic Electric Works. Therefore, the decision was made to transfer this business to Makita.

The establishment of the successor company, the transfer of this business, and the share transfer procedures for the successor company are scheduled to be completed within fiscal year 2026, and the business will start under the new structure.

※As of March 2026, according to Panasonic Electric Works research

Please see the press release below for the full text.

▼[Press Release] Regarding the Business Transfer of the Power Tool Business (March 31, 2026)

https://news.panasonic.com/jp/press/jn260331-9