-- Orix (TYO:8591) said it will implement an absorption-type company split to transfer the business of subsidiary Tsukuba Lease to itself and Orix Auto, followed by the unit's dissolution and liquidation, according to a Monday filing on the Tokyo Stock Exchange.
The split is aimed at improving operational efficiency and optimizing resource allocation within the group as it integrates Tsukuba Lease's operations.
Under the plan, Orix and Orix Auto will take over Tsukuba Lease's lease and installment sales businesses, including associated assets, liabilities, and contractual rights, with the effective date scheduled for Aug. 1.
The companies will pay consideration based on the book value of Tsukuba Lease's lease receivables and installment receivables as of July 31. Tsukuba Lease will be dissolved and liquidated after the split takes effect, while its business will continue under the successor companies.