From Nagano to the Future: 'Naorai,' Aiming to Revitalize Sake Breweries with the New Japanese Liquor 'JOCHU,' Accelerates Business with Investment in NAGANO Naorai

Naorai, which produces and sells 'JOCHU'—a 'third category of Japanese liquor'* created by distilling sake using its unique patented 'Low-Temperature Distillation®' process—aims to revitalize sake breweries through its business. The company is pleased to announce that NAGANO Naorai Co., Ltd. (Headquarters: Nagano City, Nagano Prefecture; Co-Representatives: Koichiro Miyake and Yoshio Kimura), which handles business development in Nagano Prefecture in partnership with Erimo Co., Ltd., has been selected as an investment recipient by the 'Shinshu Startup/Succession Support Fund No. 2,' managed by Mirai Door Co., Ltd. (Headquarters: Minato-ku, Tokyo; Representative: Daisuke Sawada). The investment was received in March 2026. This project is supported by a syndicated loan and investment from Hachijuni Nagano Bank and Nagano Shinkin Bank. With this, NAGANO Naorai will accelerate the development of the 'Zenkoji Monzen Distillery (tentative name),' scheduled to open in the summer of 2026, and proceed with building a production system for 'JOCHU,' a new Japanese liquor made from sake produced in Nagano Prefecture.

*Under tax law, 'JOCHU' is classified as 'spirits' or 'liqueur.'

[Project Details]

The Zenkoji Monzen Distillery plans to develop a small-scale distillery with a floor area of approximately 115 square meters, utilizing an existing building near the Zenkoji approach. Using local Nagano sake as a raw material, the distillery will produce 'JOCHU' that leverages the region's unique terroir. Furthermore, the Zenkoji Monzen Distillery will serve as a hub for promoting Nagano's sake and fermentation culture, collaborating with restaurants, department stores, and the tourism industry, with future plans to expand overseas.

Facility Name: Zenkoji Monzen Distillery (Under preparation) Location: 1543-10 Minaminagano Shinden-cho, Nagano City, Nagano Prefecture (Near Zenkoji Omotesando) Scheduled Opening: Summer 2026

[What is the 'Third Category of Japanese Liquor' JOCHU?] JOCHU is a liquor distilled using Naorai's proprietary, patented 'Low-Temperature Distillation®' method, with sake carefully brewed by master brewers (toji) and brewery workers (kurabito) as the raw material. A key feature is that while distillation increases the alcohol content, it condenses the aroma derived from the sake itself. Another major feature is its suitability for long-term barrel aging. While it retains the characteristics of sake in its aroma, it has a crisp finish similar to spirits or whiskey. We position it as a 'third category of Japanese liquor'—neither sake nor shochu—that has never existed before. Additionally, because the raw material is sake, it captures the individuality of each region. By using local Nagano sake, we will cultivate JOCHU that allows people to enjoy the differences in aroma and taste unique to the land.

[About the Shinshu SS No. 2 Investment Fund] The 'Shinshu Startup/Succession Support Fund No. 2' is a fund established to support startups and business successions within Nagano Prefecture, managed by Mirai Door Co., Ltd. as the General Partner. In collaboration with regional financial institutions and local governments, it aims to create industries and revitalize the regional economy within Nagano Prefecture. Naorai's initiative, which aims to create new liquor utilizing Nagano's sake culture and foster a circular regional industry, was highly evaluated and selected for investment.

[Mirai Door Co., Ltd.] The company engages in 'Regional Revitalization Funds' to support local venture companies, 'CVC Funds' to promote open innovation for operating companies, and 'Thematic Funds' that support industry revitalization by focusing on specific investment areas. In addition to providing capital, the company offers support for long-term business continuity, including business development, human resource development, and business consulting.

Company Website: https://www.fvc.co.jp/ Trade Name: Mirai Door Co., Ltd. (A 100% subsidiary of AI Fusion Capital Group Co., Ltd., TSE Standard, Securities Code: 254A) Chairman and President: Daisuke Sawada Headquarters: 1-9-9 Roppongi, Minato-ku, Tokyo

[Comments]

Sato Ishizaka, Investment Officer / Deputy General Manager of Investment Headquarters, Mirai Door Co., Ltd.: 'This company is a startup launched to develop an innovative business model originating from Shinshu, using Naorai's proprietary 'Low-Temperature Distillation' technology to elevate Shinshu sake into a premium luxury spirit called 'JOCHU.' We invested through the Shinshu SS No. 2 Fund because we expect this support to lead to higher added value for regional resources (sake breweries and traditional houses), cultural succession, and regional revitalization. We will firmly support the company as it aims for sustainable growth rooted in the region, in cooperation with Nagano Prefecture and the fund's investors.'

Koichiro Miyake, Co-Representative, NAGANO Naorai Co., Ltd.: 'The 'JOCHU' we produce is a 'third category of Japanese liquor' made by low-temperature distillation of sake. It is a sincere honor to be involved in creating new value together with traditional sake breweries in Nagano, a sacred place for historic sake brewing. Leveraging our experience in Hiroshima and Noto, where we already conduct distillation operations, we will cultivate this location near the Zenkoji approach into a place loved by locals. As a member of the community, we will produce 'Nagano-grown JOCHU' that spreads from here in Nagano to the world, acting as a bridge that connects Shinshu's sake culture to the world and the next generation.'

Yoshio Kimura, Co-Representative, NAGANO Naorai Co., Ltd.: 'Shinshu Nagano has many delicious things. As a local company supporting the region, I want to take on the challenge of producing this new Japanese liquor, 'JOCHU,' and share new flavors and culture from Nagano. I will strive to create liquor that allows visitors to Nagano and local residents alike to experience new emotions. My philosophy is that 'passion connects the future.' Please enjoy this Shinshu Nagano JOCHU.'

[Company Overview] Company Name: Naorai Inc. Established: April 2015 Representative: Koichiro Miyake, President and CEO Headquarters: Misumi Island, 3960 Kubi, Toyo-cho, Kure City, Hiroshima Prefecture Tokyo Office: 5F, social hive HONGO, 3-30-10 Hongo, Bunkyo-ku, Tokyo Brewery: Naorai Jinsekikogen Co., Ltd., Jinseki Distillery / 1729-3 Kobata, Jinsekikogen-cho, Jinseki-gun, Hiroshima Prefecture Business Description: Production and sale of liquor such as JOCHU

Company Name: NAGANO Naorai Co., Ltd. Established: July 2025 Representatives: Koichiro Miyake, Yoshio Kimura Location: 3-5-1 Aokijima, Nagano City, Nagano Prefecture Business Description: Production and sale of liquor such as JOCHU

Website: https://naorai.co/ Facebook: https://www.facebook.com/naoraiinc Instagram: https://www.instagram.com/naorai_jp/ X: https://twitter.com/Naorai_JP Podcast: https://x.gd/KIdFB

[To Media Representatives] We are accepting requests for coverage and interviews regarding the vision and business of Representative Koichiro Miyake at any time. Please contact us via the inquiry details. Interviews can be conducted in Hiroshima, Ishikawa, Nagano, and Tokyo.