【Tosei】Real Estate Investment Unit Issuance and Fundraising | June 2026

Overview of Fundraising and Investment Unit Issuance

This investment corporation resolutioned at the Board of Directors meeting on June 17, 2026, to issue 2,700 new investment units, raising approximately 370 million yen. The funds are scheduled to be paid on June 29, 2026, and will be used for partial early repayment of existing borrowings. This aims to reduce borrowing costs and lower the interest-bearing debt ratio (LTV), strengthening the financial foundation. The issue price is set at 136,955 yen, a 6.4% premium over the previous business day's closing price of 128,700 yen. The allottee is Tosei Corporation, which is one of the principal shareholders of this investment corporation.

Future Outlook and Impact on Unitholders

With this fundraising, partial early repayment of existing borrowings will cause the LTV to initially rise from 47.9% to 48.3%, then reduce back to 47.9% through repayment. The funds will be used for part of the repayment of existing borrowings in June 2026, contributing to financial stability and sustainable growth. The unit price has fluctuated between 128,700 yen and 150,900 yen over the past six months, with ongoing adjustments reflecting market trends.