September 13, 2023
For Immediate Release
Real Estate Investment Trust Securities Issuer
Star Asia Investment Corporation
Representative: Atsushi Kato, Executive Officer(Code: 3468)
Asset Management Company
Star Asia Investment Management Co., Ltd.
Representative:
Atsushi Kato
President and CEO
Contact:
Akiko Kanno
Director and CFO
TEL: +81-3-5425-1340

Notice Concerning Debt Financing (Refinancing)Star Asia Investment Corporation (“SAR”) announces today that it has decided to execute debt financings (the“Debt Financing” or “Refinancing”) as described below.
1.

Details of the Debt Financing (Note 1)
Method of Borrowings: Borrowings under individual term loan agreements scheduled to be signed on
September 15, 2023 with the lenders described below.

Term(Note 2)

Lenders

Borrowingamounts

Interest Rates

Expected(Note 4)

Date of(Note 5)

Borrowings

Principal
Repayment

Repayment

Date

MethodSecurity(Note 6)

A syndicate oflenders withBase

Sumitomo Mitsuiinterest

Long-term

Bankingborrowings

Corporation andMizuho Bank, Ltd.
as arrangers

4,840
millionyen

Floatingrate(JPY 3M

September

September

20, 2023

20, 2028

TIBOR)＋0.60 %Lump sum
repayment on
principal
repaymentdate(Note 7)

UnsecuredandUnguaranteed(Note 3)(Note 1) This information is based on the notice on results of consideration regarding the Debt Financing issued by thearrangers. However, it does not guarantee that the actual financing will be conducted as described above, because
the lenders should go thorough financing examination.
(Note 2) Borrowings with a repayment period of 1 year or less are classified as “short-term” and borrowings withrepayment periods exceeding 1 year are classified as “long-term”. The same applies below.
(Note 3) The syndicate of lenders consists of Sumitomo Mitsui Banking Corporation, Mizuho Bank, Ltd., Sumitomo Mitsui
Trust Bank, SBI Shinsei Bank, Limited, Aozora Bank, Ltd., Resona Bank, Limited., The Nishi-Nippon City Bank Ltd.,THE BANK OF FUKUOKA, LTD. and Mizuho Trust & Banking Co., Ltd.
(Note 4) Financing fees and other charges payable to the lenders are not included.
(Note 5) The first interest payment date is December 29, 2023, and thereafter, interest payment dates are the last day ofevery 3-months and the principal repayment date. However, if such date is a non-business day, the interest
payment date shall be the immediately following business day, or if such date falls in the next month, the interest
payment date shall be the immediately preceding business day. For borrowings with floating interest rates, the1base interest rate applicable to the calculation period for payment of interest on any given interest payment dateis the Japanese Yen TIBOR for 3 months as announced by JBA TIBOR Administration at 11 a.m. (Tokyo time, thesame applies hereinafter) or at the point of time after 11 a.m. and as close to 11 a.m. as possible, on the date
which is two business days prior to the immediately preceding interest payment date (or two business days before
the drawdown date for the first interest payment date). However, if no interest rates are found for thecorresponding interest calculation period, the base interest rate for the relevant period shall be calculated basedon the method set forth in the individual term loan agreement. For Japanese Yen TIBOR announced by the JBA
TIBOR Administration which is used as the base interest rate, please check with the JBA TIBOR Administrationwebsite (https://www.jbatibor.or.jp/english/rate/) Concerning the Debt Financing, SAR may consider fixing theinterest payments by entering into interest rate swap agreements, etc.
(Note 6) If a principal repayment date is not a business day, repayment shall be made on the next business day; however,
if such date falls on the next month, repayment shall be made on the immediately preceding business day.
(Note 7) If certain conditions, such as advance notification in writing by SAR, are satisfied during the period between thedate of borrowing and the principal repayment date, SAR may prepay the borrowed amounts either in whole orin part prior to maturity.
(Note 8) Certain financial covenants, such as stipulating that certain financial figures should be maintained based on assets
and liabilities, are expected to be established for the Debt Financing.

2.

Reason for the Debt Financing
The proceeds from the Debt Refinancing will be appropriated to the repayment of the 4,840 million longterm borrowing to mature on September 20, 2023. For details, please refer to the press release announcedby SAR dated August 21, 2018 entitled “Notice Concerning Debt Financing”.

3.

Total amount of funds to be procured by the Debt Financing, use of funds and schedule of expenditures
I. Amount of funds to be procured
Total 4,840 million yen
II.

4.

Specific use of funds to be procured and schedule of expenditures
Specific use of funds

Amountmillion yen

Scheduled date ofExpenditure

To be allocated to repayment of the existing loans stated inSection 2 above.

4,840

September 20, 2023

Status of Borrowings etc. after the Refinancing(Unit: million yen)Short-term borrowings
Long-term borrowings
Total borrowings
Investment corporation bonds
Total of borrowings andinvestment corporation bonds

Before theRefinancing(note)
1,300
117,640
118,940
1,000

After theRefinancing
1,300
117,640
118,940
1,000

119,940

119,940

Increase/Decrease－－－－－(Note) In addition to the above, the company plans to borrow 3,200 million yen on December 1, 2023. For
details, please refer to the “Notice Concerning Debt Financing (Change to Borrowing Amount)” announced on
August 30.

25.

Future outlook
The impact of the Refinancing on the forecast of operating results for the fiscal period ending January 31,2024 (August 1, 2023 to January 31, 2024) and the fiscal period ending July 31, 2024 (February 1, 2024 toJuly 31, 2024) has already been reflected in the “(REIT) Financial Report for Fiscal Period Ended July 31,2023” which SAR announced on September 13, 2023.

6.

Other matters required for investors to appropriately understand and evaluate the above information
In conjunction with the risks related to the Refinancing, there are no changes to Part II. Reference
Information / II. Information Supplementary to Reference Documents / 3. Investment Risks” stated in theSecurities Registration Statement (Japanese only) submitted on August 7, 2023.
* Star Asia Investment Corporation website address: https://starasia-reit.com/en/

This is an English translation of the announcement in Japanese dated September 13, 2023.
However, no assurance or warranties are given for the completeness or accuracy of this English translation.

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