July 29, 2019
For Immediate Release
Real Estate Investment Trust Securities Issuer
Star Asia Investment Corporation
Representative: Atsushi Kato, Executive Director(Code: 3468)
Asset Management Company
Star Asia Investment Management Co., Ltd.
Representative: Atsushi Kato
President and CEO
Contact: Akiko Kanno
Director and CFO
TEL: 03-5425-1340(Correction) Star Asia Group Supports Nippon Kanzai’s Views on Merger
Star Asia Also Strongly Believes Merger between Star Asia REIT and Sakura Sogo REIT
Is in the Best Interest of All Unitholders
With respect to the press release which Star Asia Investment Corporation (“SAR”) and Star Asia Investment
Management Co., Ltd. (the “Asset Manager”), the asset manager for SAR, announced on July 25, 2019 entitled“Star Asia Group Supports Nippon Kanzai’s Views on Merger - Star Asia Also Strongly Believes Merger Between
Star Asia REIT and Sakura Sogo REIT Is in the Best Interest of All Unitholders”, certain corrections have been madeto its contents, as follows. The corrections have been underlined.

1.

Corrected points(After correction)
1.

Star Asia Group’s Response Regarding the Opinions of Nippon Kansai Announced in the NK Statement.
<Nippon Kanzai’s Comment (1)>(Omitted)< Star Asia Group’s Response>Star Asia Group strongly believes that SSR as well as SSR’s Executive Director and Representative Director haverepeatedly taken actions which clearly contradict their claims that they wish to maximize unitholders’ value. In
other words, it is difficult to say that SSR is conducting business based on an investor-first approach. To give anexample, SSR, during its fiscal year ended June 30, 2018 (4th fiscal period), appropriated the JPY 136 million gainon-sale from the disposition of Confomall Sapporo to preparation expenses for an investment transaction which
was not completed (described as “Other costs associated with issuance of investment units (Non-OperatingExpenses)”in the Statement of Income). Furthermore, in the year ended December 31, 2018 (5th fiscal period), it
recorded expenses of JPY 16 million as “Professional service fees for due diligence etc. of properties considered foracquisition during the 5th operating period.” Star Asia Group has recognized that it would be extremely difficult tohave any fruitful discussions with SAR which would lead to any constructive conclusion or direction, while theExecutive Director of SAR concurrently holds the position of Representative Director. For this reason, the decision
was made to request convening the general meeting of unitholders.

1However, even though SSR rejected the legitimate and lawful request made from unitholders to convene ageneral meeting of unitholders, as soon as official permission to convene the unitholders’ meeting was granted,
SSR made the decision to hold its own unitholders’ meeting on the same day as the unitholders’ meeting called bythe unitholders, even though SSR could have decided to hold its own unitholders’ meeting on any day prior to suchdate. Furthermore, SSR has rejected legitimate and lawful requests made by unitholders to inspect and take copiesof the unitholders register, and SSR has been ordered by Court to allow such inspection and copying of theunitholders register. As described above, SSR has in fact repeatedly taken the stance of rejecting legitimate andlawful requests made from unitholders, and have repeatedly interfered with the exercise of legitimate rights ofunitholders, and SSR has proven itself that Star Asia Group’s initial prediction that it would be difficult to havefruitful discussions with SAR, the asset manager for SSR, was correct.
However, if Nippon Kansai, as one of the sponsors of SSR, could act as a mediator and create a forum to haveconstructive discussions, Star Asia Group is prepared to seriously consider participating in such discussions.
(Remainder omitted)

2.

Reference Information
Please also refer to the following press releases for further information.
<Disclosed on May 10th, 2019>・ Notice Concerning Proposal for Merger between Sakura Sogo REIT Investment Corporation and Star Asia
Investment Corporation
・Supplementary Explanatory Material Regarding Today’s Timely Disclosure (1)~Proposal Material from the Star Asia Group to all unitholders of Sakura Sogo REIT Investment Corporation~
・Supplementary Explanatory Material Regarding Today’s Timely Disclosure (2)~Explanatory Material to all unitholders of Star Asia Investment Corporation~<Disclosed on May 16th, 2019>
・Notice Concerning Application for Permission of Holding Sakura Sogo REIT Investment Corporation’s Unitholders’Meeting by Star Asia Group<Disclosed on June 28th, 2019>
・Star Asia Group Receives Approval to Hold Unitholders’ Meeting of Sakura Sogo REIT Investment Corporation<Disclosed on July 1st, 2019>
・Notice Concerning Holding Unitholders' Meeting of Sakura Sogo REIT Investment Corporation By Star Asia Group<Disclosed on July 4th, 2019>
・Lion Partners Files Petition with Tokyo District Court Seeking Injunction Given Illegal Acts Conducted by the
Executive Director of Sakura Sogo REIT (“SSR”). Also Takes Other Further Actions to Protect and Defend the BestInterests of SSR Unitholders<Disclosed on July 5th, 2019>・Supplementary Explanatory Material Regarding Timely Disclosure announced on July 4th, 2019
<Disclosed on July 17th, 2019>
・Lion Partners to Acquire Additional Investment Units of Sakura Sogo REIT2

<Disclosed on July 19th, 2019>
・Lion Partners－Further Increases Amount of Additional Acquisition of Sakura Sogo REIT Units－<Disclosed on July 24th, 2019>
・Important Notice Regarding the Sakura Sogo REIT Unitholders’Meeting to be Convened by Lion Partners(Scheduled to begin from 10:00 am on Friday August 30, 2019 )<Disclosed on July 25th, 2019>
・Star Asia Group Supports Nippon Kanzai ‘s Views on Merger Star Asia Also Strongly Believes Merger Between
Star Asia REIT and Sakura Sogo REIT Is in the Best Interest of All Unitholders
3. Future Policy
If circumstances should arise which warrant further disclosures, such matters shall be disclosed as deemed
appropriate in a timely manner.
＊ SAR HP URL: http://starasia-reit.com＊ Star Asia Group HP URL: http://starasiamanagement.com/＊ SAR official YouTube channel URL: https://www.youtube.com/channel/UCYasJn4xrns2fhyZFKMAELw
This is an English translation of the announcement in Japanese dated July 29, 2019. However, no assurance or warranties are
given for the completeness or accuracy of this English translation.

3