Partnership in Power Solutions Business and Investment from Sinanen Facilities Co., Ltd.

Greenphard Energy Co., Ltd. (President: Takehito Nishiyama, Headquarters: Minato-ku, Tokyo, hereinafter referred to as "Greenphard") is pleased to announce a comprehensive partnership in the power solutions business and a strategic investment from Sinanen Facilities Co., Ltd. (President: Eiji Kawana, Headquarters: Okegawa City, Saitama Prefecture, hereinafter referred to as "Sinanen Facilities"), a subsidiary of Sinanen Holdings Co., Ltd., which provides comprehensive energy, housing, and lifestyle services.

Through this partnership, we aim to combine the Greenphard's cutting-edge AI and IoT technology, virtual power plant (VPP)^＊1, and demand response (DR)^＊2capabilities that generate power resources from power demand facilities, with Sinanen Group's diverse power business. We will work together to optimize the energy usage across communities and society, promote decarbonization, and contribute to the further spread of clean energy.

【Collaboration Concept Diagram】

As renewable energy continues to increase, the further promotion of DR is essential to ensure a stable power supply. However, the challenge lies in generating more flexibility using currently underutilized DER (Distributed Energy Resources)^＊3. This partnership aims to maximize DER utilization in DR by combining the Greenphard's AI-driven intelligent IoT technology^*4 and power aggregation solutions with Sinanen Group's PPA (Power Purchase Agreement)^＊5 business. By optimally controlling the equipment of power off-takers in the PPA business based on supply-demand conditions, we aim to enhance the benefits for both Sinanen Group and their customers. Additionally, we will collaborate with Sinanen Facilities' equipment construction business to promote the efficient installation of our products.

Greenphard and Sinanen Facilities are committed to contributing to decarbonization and addressing global environmental issues through these initiatives.

*1 A Virtual Power Plant (VPP) ：Provides power plant-like functionality by controlling energy resources owned by consumers or connected to the power grid, including reverse flows of energy from the consumers' side.

*2 Demand response (DR) ：Refers to controlling and utilizing consumer-owned power generation equipment to adjust electricity demand and balance supply and demand.

*3 DER (Distributed Energy Resources) ： Energy sources distributed across various locations, including solar power systems, batteries, and electric vehicles owned by businesses and households.

*4 IoT technology：Intelligent control terminals are installed on customers' DER equipment, such as freezers, refrigerators, and air conditioners, to maximize generated electricity through optimal control based on demand forecasts and external conditions.

*5 PPA (Power Purchase Agreement)： Refers to a system where a power customer (such as a business or municipality) leases space, like rooftops or idle land, to a PPA provider who installs solar power generation systems and supplies renewable energy.