August 21, 2018
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: Toru Sugihara
Director and CFO
TEL: +81-3-5425-1340

Notice Concerning Issuance of New Investment Units and Secondary Offering of Investment UnitsStar Asia Investment Corporation (“SAR”) announces that it resolved at the Board of Directors meeting held on August 21,
2018 concerning issuance of new investment units and secondary offering of investment units as described below.
1．Issuance of new investment units through public offering (primary offering)(1)
Total number of investment 66,857 units
units to be offered:amount):To be determined
The paid-in amount shall be determined at a future Board of Directors(3)

Total paid-in amount (totalmeeting.
To be determined(4)

issue amount):
Issue price (offer price):

(2)

(5)
(6)

Paid-in amount (issue

Total issue price (total offerprice):
Offering method:

To be determined
The issue price (offer price) shall be determined considering thedemand for new investment units and other circumstances.
To be determined
The offering of investment units shall be through a primary offering
and underwritten in full by an underwriting syndicate.

(7)

Payment date:

Five business days after the Pricing Date (a business day from August29, 2018 (Wednesday) to September 3, 2018 (Monday)), which will be
one of the business days from September 5, 2018 (Wednesday) toSeptember 10, 2018 (Monday).

(8)

Delivery date:

The business day immediately following the payment date described in (7)aboveNote:

This press release does not in any way constitute any part of an offering of securities for investment. Thispress release has been prepared for the purpose of announcing to the public certain matters relating to theissuance of new investment units and secondary offering of investment units, and not for the purpose ofsoliciting any investment, within or outside of Japan. Additionally, this press release is not an offer ofsecurities for sale in the United States. The securities referred to herein have not been, and will not beregistered under the United States Securities Act of 1933, as amended (the “Securities Act”) and may not be
offered or sold in the United States absent registration or an exemption from registration under the Securities
Act. No offering or sale of securities in the United States will be made in connection with the above mentioned transactions. This press release is not for publication, distribution or release, directly or indirectlyin or into the United States of America.

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(9)
(10)

The paid-in amount (issue amount), issue price (offer price) and other items necessary for the issuance ofthe new investment units shall be determined at a future Board of Directors meeting.
Each of the aforementioned items shall be subject to the securities registration statement taking effect inaccordance with the Financial Instruments and Exchange Act of Japan.

2．Secondary offering of investment units (over-allotment) (please refer to <Reference> 1. below.)
Total number of investment 3,343 units(1)
units to be offered:
The above-mentioned number indicates the maximum number ofinvestment units to be offered through secondary offering throughover-allotment. There may be cases where this number is reduced or
the secondary offering through over-allotment itself may not takeplace at all, depending on the demand and other circumstances
concerning the primary offering. The number of investment units to beoffered through the secondary offering shall be determined at a Boardof Directors meeting taking into account the demand for the primaryoffering and other circumstances.
(2)

Seller:(3)

Offer price:(4)

Total offer price:

A bookrunner of the primary offering
To be determined
The offer price shall be same as the offer price for the primary offering.
To be determined(5)

Offering method:

Upon the primary offering, in consideration of the demand and othercircumstances of the primary offering, a bookrunner of the primaryoffering, shall offer the investment units (up to 3,343 units) to beborrowed from Star Asia Capital Japan Godo Kaisha (“SACJ GK”).

(6)

Delivery date:Same as the delivery date for the primary offering.

(7)

The offer price and other items necessary for the secondary offering through over-allotment shall bedetermined at a future Board of Directors meeting.

(8)

Each of the aforementioned items shall be subject to the securities registration statement taking effect inaccordance with the Financial Instruments and Exchange Act of Japan.

3．Issuance of new investment units through third party allotment (please refer to <Reference> 1. below.)(1)

Total number of investment

3,343 units

units to be offered:(2)

Paid-in amount (issueamount):

To be determined
The paid-in amount shall be determined at a future Board of Directors
meeting and shall be same as the paid-in amount (issue amount) for theprimary offering.

(3)

Total paid-in amount (total

To be determined

issue amount):
Note:

This press release does not in any way constitute any part of an offering of securities for investment. Thispress release has been prepared for the purpose of announcing to the public certain matters relating to theissuance of new investment units and secondary offering of investment units, and not for the purpose ofsoliciting any investment, within or outside of Japan. Additionally, this press release is not an offer ofsecurities for sale in the United States. The securities referred to herein have not been, and will not beregistered under the United States Securities Act of 1933, as amended (the “Securities Act”) and may not beoffered or sold in the United States absent registration or an exemption from registration under the Securities
Act. No offering or sale of securities in the United States will be made in connection with the above mentioned transactions. This press release is not for publication, distribution or release, directly or indirectlyin or into the United States of America.

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(4)

Allottee:

A bookrunner of the primary offering(5)

Payment date:

October 2, 2018 (Tuesday)(6)

If there is no subscription for all or a part of the investment units, the issuance of such investment
units shall be canceled.

(7)

The paid-in amount (issue amount) and other items necessary for the issuance of the newinvestment units shall be determined at a future Board of Directors meeting.

(8)

Each of the aforementioned items shall be subject to the securities registration statement taking effect inaccordance with the Financial Instruments and Exchange Act of Japan.

<Reference>
1．Details of the secondary offering through over-allotment
Secondary offering through over-allotment is the offering through which a bookrunner of the primary offering
shall offer the investment units (up to 3,343 units) borrowed from SACJ GK, upon the primary offering after
taking into account the demand and other circumstances concerning it. The number of investment units to beoffered in the secondary offering through over-allotment is scheduled to be 3,343 units, but the number is themaximum amount. The number may be reduced or the secondary offering through over-allotment itself may
not take place at all, depending on the demand and other circumstances.
In order to allow such bookrunner to acquire the investment units needed to return the investment units
borrowed from SACJ GK (the “Borrowed Investment Units”) in relation to the secondary offering through overallotment, SAR has resolved at its Board of Directors meeting held on August 21, 2018 (Tuesday) to newly issue
3,343 units of the investment units through third party allotment (the “Third Party Allotment”), to such
bookrunner as the allottee with the payment date on October 2, 2018 (Tuesday).
In addition, such bookrunner may, within a specified period, purchase investment units up to the maximum
number of investment units offered in the secondary offering through over-allotment on the Tokyo Stock
Exchange, Inc. (the “Syndicate Cover Transaction”) with the aim of returning the Borrowed Investment Units.
Investment units purchased by such bookrunner through the Syndicate Cover Transaction shall be appropriatedin full for returning the Borrowed Investment Units. Such bookrunner, at its discretion, may choose not to enter
into any Syndicate Cover Transaction, or to terminate the Syndicate Cover Transaction prior to reaching themaximum number of investment units to be offered in the secondary offering through over-allotment during
the Syndicate Cover Transaction Period.
Further, such bookrunner may conduct stabilizing transactions in connection with the primary offering andsecondary offering through over-allotment, and appropriate all or part of the investment units that arepurchased through such stabilizing transactions to return the Borrowed Investment Units.
Such bookrunner intends to agree to the Third Party Allotment to purchase the number of investment units
calculated by deducting the number of investment units purchased through stabilizing transactions and theSyndicate Cover Transaction to be appropriated to the return of Borrowed Investment Units, from the numberof investment units to be sold in the secondary offering through over-allotment. Thus, there may be noNote:

This press release does not in any way constitute any part of an offering of securities for investment. Thispress release has been prepared for the purpose of announcing to the public certain matters relating to theissuance of new investment units and secondary offering of investment units, and not for the purpose ofsoliciting any investment, within or outside of Japan. Additionally, this press release is not an offer ofsecurities for sale in the United States. The securities referred to herein have not been, and will not beregistered under the United States Securities Act of 1933, as amended (the “Securities Act”) and may not be
offered or sold in the United States absent registration or an exemption from registration under the Securities
Act. No offering or sale of securities in the United States will be made in connection with the above mentioned transactions. This press release is not for publication, distribution or release, directly or indirectlyin or into the United States of America.

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subscription for all or a part of the investments units to be issued through the Third Party Allotment. As a result,the subscription right may be forfeited partly or entirely and the final number of investment units to be issued
through the Third Party Allotment may be reduced to the same extent, or the issuance itself may not take placeat all.

2．Specific use of the funds to be procured and scheduled expenditure date
Net proceeds from the primary offering will be appropriated to a portion of the acquisition of the property
noted in “Notice Concerning Acquisition and Transfer (Asset Replacement) of Real Estate Beneficiary Interests
in Trust,” which was released on July 23, 2018 and the accompanying “Notice Concerning Determination of thePlanned Acquisition Date and Change of the Funds for Acquisition” which was released today as well as theproperties noted in “Notice Concerning Acquisition and Lease Contract with New Tenants, and Transfer of Real
Estate Beneficiary Interests in Trust” which was released today. Additionally, the net proceeds from the Third
Party Allotment will be appropriated to a portion of the repayment of borrowings.

* Star Asia Investment Corporation website address: http://starasia-reit.com/en/

Note:

This press release does not in any way constitute any part of an offering of securities for investment. Thispress release has been prepared for the purpose of announcing to the public certain matters relating to theissuance of new investment units and secondary offering of investment units, and not for the purpose ofsoliciting any investment, within or outside of Japan. Additionally, this press release is not an offer ofsecurities for sale in the United States. The securities referred to herein have not been, and will not beregistered under the United States Securities Act of 1933, as amended (the “Securities Act”) and may not beoffered or sold in the United States absent registration or an exemption from registration under the Securities
Act. No offering or sale of securities in the United States will be made in connection with the above mentioned transactions. This press release is not for publication, distribution or release, directly or indirectlyin or into the United States of America.

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