News

Mitsubishi Materials Corporation (the "Company") hereby announces that it has decided to acquire a portion of the shares of Elemental USA E-Waste & ITAD, Inc. ("Elemental USA E-Waste") (the "Investment"), which operates an E-Waste recycling business in the United States and is currently owned by Elemental Holding SA ("Elemental").

1. Purpose of the Acquisition

The Company's new Medium-term Management Strategy (FYE March 2027-2029) sets out the basic policy of "creating the future through resource circulation," which includes expanding E-Scrap collection and secondary smelting with a focus on global business expansion in Europe, the U.S. and Asia.

Elemental is a leading global urban-mining group with a growing U.S. presence, including an E-Scrap division operated through its wholly owned subsidiary, Colt Recycling LLC ("Colt Recycling"), which processes approximately 18,000 tonnes of E-Waste annually across four facilities.
We believe that the Investment will not only contribute to expanding the collection volume of secondary raw material, including E-Scrap, and strengthening the recovery network in the United States, but also to enhancing the recycling platform and promoting a shared vision toward global resource circulation, as described below.

Strengthening MMC's Broader Recycling Platform

As part of our global expansion of the resource recycling business, we have invested in Exurban Limited ("Exurban"), which is developing a secondary smelting business, including E-Scrap, in the United States. The Investment is intended to complement our investment in Exurban by expanding upstream raw material procurement through an increase in the collection network. In addition, we believe it will strengthen our global value chain from the collection and dismantling of E-Scrap to the smelting of metal ingots.

Advancing a Shared Vision for Global Resource Circulation

The Company and Elemental share a common vision of building a global supply chain for recycled materials that supports the transition to a more circular and low-carbon economy. This initiative will serve as an opportunity to combine our expertise in non-ferrous metal smelting with Elemental's rapidly expanding E-Waste recycling platform. The Company and Elemental will work together to:

• Accelerate the growth of E-Waste recycling operations globally, including strategic organic expansion and targeted M&A.
• Strengthen upstream collection networks across the U.S. and internationally, enhancing access to high quality secondary raw materials.
• Support capital investment and technology deployment to improve recovery yields, sustainability performance, and processing capacity.
• Develop long-term downstream solutions, including potential future feedstock flows from Colt Recycling to the secondary smelting plant that the Company's group is considering constructing in the United States.

2. Overview of the Target Company

(1) Name	Elemental USA E-Waste & ITAD, Inc.
(2) Address	1209 Orange Street - Corporation Trust Center, City of Wilmington, County of New Castle, 19801, USA
(3) Title and Name of the   Representative	Joel Glaser (Chief Executive Officer/President) Marek Stanio (Chief Financial Officer/Secretary)
(4) Business Details	Holding company overseeing E-Waste recycling operations in the United States
(5) Capital Stock	USD 37,180,000.01
(6) Date of Establishment	December 22, 2020
(7) Shareholding Structure	Elemental Holding SA 100%

3. Number of Shares Acquired and Shareholding Status After Transfer

(1) Common Shares Held Before Transfer   Preferred Shares Held Before Transfer	0 shares (Voting rights ownership ratio: 0%) 0 shares (Voting rights ownership ratio: 0%)
(2) Common Shares Acquired   Preferred Shares Acquired*1	4,448 shares (Voting rights ownership ratio: 19%) 13,771 shares (Voting rights ownership ratio: 0%)
(3) Common Shares Held After Transfer   Preferred Shares Held After Transfer	4,448 shares (Voting rights ownership ratio: 19%) 13,771 shares (Voting rights ownership ratio: 0%)

*1 The Company plans to acquire 13,771 preferred shares (non-voting) that potentially can be converted into common shares at our discretion in the future, subject to obtaining customary regulatory approvals. Assuming implementation of such a conversion, our voting rights ownership ratio will be 49%, including the existing common shares.

4. Schedule of Acquisition

January 22nd 2026 (Scheduled)
Closing of the Acquisition is subject to the satisfaction of the conditions precedent set forth in the transaction documentation.

5. Future Outlook

The impact of this matter on our consolidated results for the fiscal year ending March 2026 is expected to be immaterial.

6. Executive Commentary

About Elemental Holding SA

Elemental Holding is an international leader in the recycling of precious metals and strategic materials from E-Waste, autocatalysts, and other secondary resources. With operations across Europe, the United States, Asia, the Middle East, and Africa, Elemental aims to build one of the largest global urban mining platforms.
For more details, please visit: https://www.elemental.biz/

(Terms)

Urban Mining

A concept of viewing waste and unwanted items existing in cities as "mines" and recovering valuable resources from them.

E-Waste

A general term for used or unwanted electrical and electronic equipment.

E-Scrap

Electronic equipment waste boards and similar items that contain high concentrations of valuable metals among E-Waste.

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