January 27, 2015
Company Name:

GMO Internet, Inc.
(TSE First Section, Code: 9449)

Address:

26-1 Sakuragaoka-cho Shibuya-ku Tokyo JAPAN

Representative:

Masatoshi Kumagai, CEO and Representative Director

Contact:

Masashi Yasuda, Managing Director

Telephone:+81 3 5456 2555

URL:

http://www.gmo.jp/en

Notification of Sale of Share Holdings in Two Indirect Subsidiaries
GMO Internet, Inc. consolidated subsidiary, GMO CLICK HOLDINGS, today convened a Board of Directors meetingthat resolved to sell its entire holdings in consolidated subsidiary GMO CLICK INVESTMENT, Inc. to FJNext Co.,
Ltd. (TSE:8935).

1．Objective of Sale
GMO CLICK HD consolidated subsidiary, GMO CLICK INVESTMENT consolidated subsidiary, Gyokuhokan, Inc.
operates a Japanese inn in the Shizuoka region, acquired by GMO CLICK INVESTMENT as part of its businessrejuvenation business.
GMO CLICK HD was established to strengthen corporate governance and promote business diversification in theInternet securities segment. The company has recently been reviewing business priorities with a view to improving
corporate value by maximizing the group’s resources including systems development and operational expertise,operational efficiency, and human resource talent. As a result of a decision to focus resources on the group’s core
Internet securities business segment, it was decided to sell the GMO CLICK INVESTMENT business afterdetermining that GMO Internet Group stakeholders would welcome the decision. FJNext, the company to acquire
the business already operates several properties in the Shizuoka region.
As a result of the share transfer, GMO CLICK INVESTMENT and Gyokuhokan will be excluded from the GMO
Internet consolidation.

12．GMO CLICK HOLDINGS, Inc. (Consolidated subsidiary to transfer share ownership)(As of 3/2014)(1)

Company Name

GMO CLICK HOLDINGS, Inc.

(2)

Address

20-1 Sakuragaokacho, Shibuya-ku, Tokyo JAPAN(3)

Representatives

Chairman Hideyuki Takashima
CEO Hiroyasu Kito
Financial instruments trading, corporate rejuvenation, information services for(4)

Business Description

investors provided by subsidiary, management and administration of groupcompanies and ancillary operations.

(5)

CapitalJPY 100,000,000

3.1 GMO CLICK Investment Inc. (indirectly-owned consolidated subsidiary to be transferred)(As of 3/2014)(1) Company Name

GMO CLICK INVESTMENT, Inc.

(2) Address

20-1 Sakuragaokacho, Shibuya-ku, Tokyo JAPAN(3) CEOCEO Hiroyasu Kito

(4) Business Description

Investment in business regeneration support(5) Capital

JPY 100,000,000(6) Date Established

November 11, 2011(7) Major Shareholders andGMO CLICK HOLDINGS, Inc.

100%

Ownership Ratio
CapitalWholly-owned subsidiary of GMO Internet consolidated

Relationshipsubsidiary GMO CLICK HD.
Three Directors on the Board of consolidated subsidiary(8) Related Party Relationships

Executivewith GMO Internet, Inc.

Relationship

GMO CLICK HD serve concurrently on the Board of GMO
CLICK INVESTMENT.
Transactional

No reportable transactional relationship.

Relationship(9) Operating Results and Financial Condition in the Three Most Recent Fiscal Years
Fiscal Term

FYE3/2012

FYE3/2013

FYE3/2014

Net Assets

JPY 496,506,000

JPY 471,953,000

JPY 460,818,000

Total Assets

JPY 500,001,000

JPY 632,259,000

JPY 627,906,000

Net Assets per ShareJPY 49,354.51

JPY 46,913.84

JPY 45,806.97

Net Sales――

JPY 44,180,000

2Operating Profit-JPY 7,249,000-JPY 32,726,000-JPY 7,458,000

Ordinary Profit-JPY 8,993,000-JPY 33,964,000-JPY 11,594,000

Net Profit-JPY 6,493,000-JPY 24,553,000-JPY 11,135,000

Net Profit per Share-JPY 877.63-JPY 2,440.6７-JPY 1,106.88

Dividend per Share―――

3.2 Gyokuhokan, Inc. (indirectly-owned consolidated subsidiary to be transferred)(As of 3/2014)(1) Company Name

Gyokuhokan, Inc.

(2) Address

Kawazucho, Kamogun, Shizuoka-ken(3) CEOChikako Sawada(4) Business Description

Japanese hotel business(5) Capital

JPY 15,000,000(6) Date Established

December 6, 2014(7) Major Shareholders andGMO CLICK INVESTMENT, Inc.

100%

Ownership Ratio
CapitalWholly-owned subsidiary of GMO Internet consolidated

Relationshipsubsidiary GMO INVESTMENT.
Two Directors on the Board of consolidated subsidiary(8) Related Party Relationships

Executivewith GMO Internet, Inc.

Relationship

GMO CLICK HD serve concurrently on the Board ofGyokuhokan.
Transactional

No reportable transactional relationship.

Relationship(9) Operating Results and Financial Condition in the Three Most Recent Fiscal Years
Fiscal Term

FYE3/2012

FYE3/2013

Net Assets―

JPY 26,780,000-JPY 23,351,000

Total Assets―

JPY 29,036,000

JPY 74,632,000

Net Assets per Share―JPY 44,634.12-JPY 38,918.95

Net Sales――

Operating Profit―-JPY 3,975,000-JPY 54,948,000

Ordinary Profit―-JPY 4,240,000-JPY 56,322,000

Net Profit―-JPY 3,219,000-JPY 50,131,000

Net Profit per Share―-JPY 5,365.88-JPY 83,553.07

3

FYE3/2014

JPY 219,135,000―Dividend per Share――

4．FJNext Co. Ltd. (company to acquire ownership)(as of 3/2014)(1) Company Name

FJNext Co. Ltd.

(2) Address

6-5-1 Nishi-Shinjuku, Tokyo, JAPAN(3) CEOYukiharu Hida

(4) Business Description

Real estate, planning and development, sales and agent(5) Capital

JPY2,774,000,000(6) Date Established

July 1980(7) Net Assets

JPY 25,534,000,000 (consolidated)(8) Total Assets

JPY 39,827,000,000 (consolidated)
Yukiharu Hida

22.2%

Shoto Investment Club, Inc.

13.8%

MM York, Inc.

11.3%

(9) Major Shareholders andOwnership Ratio
CapitalNo reportable capital relationship between GMO Internet

Relationshipor any affiliated person or company and FJNext.

Executive

No reportable executive relationship between GMO(8) Related Party Relationships

Relationship

Internet or any affiliated person or company and FJNext.

with GMO Internet, Inc.

Transactional

No reportable transactional relationship between GMO

Relationship

Internet or any affiliated person or company and FJNext.

Related Party

Not applicable

Relationship

5．Number of Shares to be Transferred, Acquisition Price and Share Ownership before and after the Transaction
Number of Shares Held

10,060 shares

before the Transaction(voting rights: 10,600) (ownership ratio: 100%)

Number of Shares to be

10,060 sharestransferred(voting rights: 10,600) (ownership ratio: 100%)(1)(2)
Number of Shares Held(3)0 shares (voting rights: 0) (ownership ratio: 0%)
after the Transaction(4)

Acquisition Price

JPY300,000,000 (tentative)

4

6．Schedule
Board of Directors resolution

January 27, 2015

Agreement to be executed

February 2, 2015 (tentative)

Share transfer date

March 1, 2015 (tentative)

7．Outlook
GMO CLICK INVESTMENT will be excluded from the group consolidation as a result of this transaction. However,
impact on operating results in immaterial.

(Reference) Consolidated Results Forecast (published February 6, 2014)
Consolidated

ConsolidatedConsolidated

Consolidated

Net Sales

Operating Profit

Ordinary Profit

Net Profit

JPY 105,000 million

JPY 12,500 million

JPY 12,500 million

JPY 5,500 million

JPY 93,704 million

JPY 11,000 million

JPY 10,941 million

JPY 5,244 million

Current Forecast(FYE12/2014)
Previous Term Results(FYE12/2013)5