◆Background of Basic Agreement Signing Endo-Phyte Inc. (hereinafter, Endo-Phyte) and Oji Holdings Corporation (hereinafter, Oji Holdings) are pleased to announce that they have signed a Memorandum of Understanding (MOU) to co-create new businesses utilizing useful ecosystems, such as soil microorganisms inhabiting healthy forest soils. Endo-Phyte develops solutions and products that enhance plant functionality by utilizing DSE (Dark Septate Endophytes), which are endophytic fungi selected from forest soils. DSE are symbiotic fungi that live within plant roots and have been reported to influence various plant physiological functions, including improved nutrient utilization efficiency of nitrogen and phosphorus, enhanced tolerance to environmental stress, promotion of flowering and fruiting, and increased production of functional compounds. Furthermore, DSE not only act on plants independently but also contribute to the formation of plant-soil microbial networks through interaction with indigenous bacteria and other symbiotic microorganisms present in the rhizosphere. Recent research has shown that DSE colonization significantly impacts the structure and function of the rhizosphere and soil microbiome, playing a crucial role in supporting plant growth and environmental adaptability. Symbiotic network by indigenous bacteria with DSE as the core Endo-Phyte addresses challenges in the agriculture and forestry sectors by utilizing such useful forest-derived microorganisms to improve environmental stress tolerance and add high value. The company has also promoted co-creation and demonstration projects with approximately 40 major companies. Oji Holdings owns extensive company-owned forests, "Oji's Forests" (approximately 636,000 ha), both domestically and internationally, and aims to maximize the multifaceted value of forests, with a particular focus on five elements: soil, water, biodiversity, nutrients, and CO2. Forest soil is positioned not only as the foundation for tre