Strengthening Our Film Sales Business in the UK

Premier Paper Group Limited (headquartered in Birmingham, U.K.; hereinafter "PPG"), a consolidated subsidiary of Japan Paper & Pulp Company Limited, has acquired 100% of the shares of Zulu Packaging Limited (hereinafter "Zulu"). Zulu is a wholesaler of a wide range of films, including flexible packaging films for food packaging processors and commercial printing laminating films for container manufacturers.

PPG is a leading regional paper wholesaler operating under the "Premier" brand with inventory locations throughout the U.K. and is also expanding its sales of packaging materials and graphic boards used for signage. With the acquisition of Zulu, PPG aims to leverage its experience and Zulu's capabilities as a specialist in this field to offer more products to existing and new customers and to create synergies such as streamlining inventory and delivery functions.

Under the Medium-term Business Plan 2023, the OVOL Japan Pulp & Paper group is promoting complementary M&A to increase the handling of high-value-added products, such as packaging and films, for which local sales capabilities can be effectively utilized. We will continue to execute complementary M&A centered on paper and paperboard to enhance functions and create new value in our wholesale business and further improve profitability.