November 1, 2019
To whom it may concern:
Company nameSansan, Inc.

Representative

Chikahiro Terada,
Representative Director & CEO(Code: 4443 TSE Mothers)

Contact

Muneyuki Hashimoto,Executive Officer, CFO

TEL+81-3-6758-0033

Notification regarding Capital and Business Alliance with WingArc1st Inc.
Sansan, Inc. (the “Company”) hereby announces that the Company has resolved to form a capital andbusiness alliance with WingArc1st Inc. (“WingArc1st”) today and has signed a capital and businessalliance agreement as described below.
1. Purpose and Reason of the Capital and Business Alliance
Under the mission of “Turning encounters into innovation,” the Company is developing services tied tosolving various issues that companies and business people face, such as business card management,by using new approaches that combine “technology and data-input-based business card digitization
systems” with “cloud software.” Specifically, the Company operates the Sansan Business, which
provides “Sansan,” a B2B cloud-based business card management service that enables users to digitize
business cards in order to visualize and share the networks between individuals as data, and the EightBusiness, which operates “Eight”: Your Business Card Management App that incorporates a system ofsocial networking services and changes business cards into a business network.
The “Sansan” and “Eight” Businesses are services used by many companies and business people, andbusiness card management, which is a basic business need, as well as the data and informationcollected form the backbone of those services. Therefore, we believe that there is high potential for
syncing with other services and databases and that all the requirements are there for a businessplatform. As a consequence, we believe both services meet the requirements to become a platform foruse in business scenes.
At present, the Company is working toward achieving further growth in the Sansan Business whilemonetizing the Eight Business with the aim of enhancing both its shareholder and corporate value overthe medium- to long-term. The Sansan Business will aim for the continued market penetration andexpansion of its established services. At the same time, strengthening ties with external services, raising
its scalability and value as a business platform, and gaining access to a broad range of business
opportunities are among the Company’s key growth strategies.
For its part, WingArc1st has set a vision to “Empower Data, Innovate the Business, Shape the Future”.
By utilizing the variety of data that exists in society, it aims to stimulate innovation in many companies
and create a better society as a result. WingArc1st has a strong track record in deploying its services toa myriad of industries. These services include virtually integrating data that accumulates throughbusiness process in create data empowerment solutions that perform high-speed analysis andvisualization and software infrastructure solutions services.
The Company and WingArc1st have a shared philosophy of “creating innovation for society”, theirservices are highly compatible, and both parties have other common interests. Against this backdrop, thecompanies agreed to consult each other on a business tie-up that utilizes each other’s strengths andknow-how with the aim of further advancing both businesses. This led to this capital and businessalliance.

12. Details of the Capital and Business Alliance(1) Details of the Capital Alliance
The Company has agreed with WingArc1st’s existing shareholders to acquire a portion (3,569,700shares) of their holdings of WingArc1st shares for 4,998 million yen. The share transfer is scheduled to
be implemented on November 25, 2019. As a result, the Company will own 11.44% of the shares
outstanding of WingArc1st as of the date this agreement to enter a business and capital alliance isconcluded.
The Company expects the total amount of funds required for acquiring the shares to be provided throughborrowing from financial institutions. The borrowing of funds is currently under consideration, and we will
notify you in a timely manner should disclosure be necessary.
(2) Details of the Business AllianceWith the Company’s “Sansan” service, business card information can be digitalized and shared within anorganization and contact management including customer data implemented via the cloud. Furthermore,
we support digitalization of data, its sharing and integration as a gateway for customers’ digitaltransformation by providing “Customer Data Hub”, etc. that aggregates data dispersed throughout theclient’s organization by name. Meanwhile, WingArc1st leverages a variety of technology to integrate,visualize, and analyze data and information through its “MotionBoard” (see Note) service. By combining
both services, information on business partners and customers that has been digitalized and integrated
with the Company’s service can be understood and analyzed through the use of WingArc1st’s tools andbe useful in the users’ decision-making processes and process improvements. Our users can enhance
engagement with their customers through a deeper understanding of them, and the combination of theCompany’s and WingArc1st’s services will become a powerful tool for promoting users’ own digitaltransformation.
Against this backdrop, as of this juncture both companies plan to implement a business alliance as
outlined below. Both companies will consult each other regarding details of the specific initiatives on anongoing basis.
1. Expansion of Revenue Opportunities for Both Businesses by Linking the Functions of Both Services
Based on a usage agreement between the two companies, incorporating WingArc1st’s “MotionBoard”
service as an application that can be used on the Company’s “Sansan” service will add an analysis
and other functions for business card data including that of business partners and clients to “Sansan”.
We will work to up-sell this new service to “Sansan’s” existing customers while seeking out newcustomers aiming to use this functionality.
2. Enhancing the Company’s Services by Leveraging the Functions of WingArc1st’s Services
We will improve the functions and user experience of the Company’s “Sansan” service by using thevarious services provided by WingArc1st. and work to gain new customers and limit the churn rate ofour existing customer base.
3. Implementing Cross-selling through Mutual Sales Activities
Sansan and WingArc1st will both make cross-selling proposals in their sales activities and thus
endeavor to win new customers and up-sell to existing customers by helping to support their digitaltransformations.
Note: This is an information usage dashboard service created with the concept that companies caninnovate by integrating and making visual a variety of information and data that exists both inside andoutside companies and converting it into information of value. The service is characterized by having a
myriad of ways to express data, real-time processing, and ease of operation and maintenance.
(3) Dispatch of Executives, etc.
Sansan plans to put the appointment of its designate Chikahiro Terada (Sansan’s Representative
Director & CEO) as a candidate for WingArc1st’s external directors on the agenda of WingArc1st’s Boardof Directors meeting and General Meeting of Shareholders.

23. Overview of the Capital and Business Alliance Partner（1）

Company Name

WingArc1st Inc.

（2）

Head Office3-2-1, Roppongi, Minato-ku, Tokyo（3）

Representative

Jun Tanaka（4）

Description of Business

Development and sales of software and services（5）

Capital200 million yen（6）FoundedMarch 7, 2016

Major Shareholders andShareholding RatioCJP WA Holdings, L.P.
Monolith L.L.P.
ITOCHU Corporation
INTAGE HOLDINGS Inc.
PKSHA Technology CapitalSuzuyo & Co., Ltd.
(As of February 28, 2019)

（7）

（8）

（9）

Relationship with theCompany

88.39%
4.49%
3.00%
1.60%
1.15%
1.15%

Capital Relationship

None

Personnel Relationship

None

Business Relationship

WingArc1st and the Company engage
in transactions related to “Sansan”
service, etc.

Related Party Status

None

Financial Position and Performance in the Past 3 Fiscal Years (IFRS)

Consolidated fiscal year ended

February 28, 2017

February 28, 2018

February 28, 2019

Total Equity Attributable toOwners of the Parent Company

17,181

17,18919,253

Total Assets

55,46754,87054,703

Total Equity Attributable toOwners of the Parent Companyper Share (yen)550.72550.96617.14

Revenue

11,655

15,566

17,287

Operating Income

2,746

4,223

4,887

Net Income Attributable toOwners of the Company

1,575

2,924

3,292

Basic Earnings per Share
Attributable to Owners of theParent Company (yen)

50.51

93.74

105.56―92.0045.00

Dividend per Share (yen)*Note: In millions of yen unless specified otherwise.
*Note: Profit attributable to owners of parent per share, basic net profit per share, and dividends pershare are calculated assuming the 1:100 stock split of common shares that was implemented on August3

31, 2018 occurred at the start of the fiscal year ended in February 2017.
4. Schedule（1）

Decision Date

（2）

Conclusion Date of Capital and Business
November 1, 2019
Alliance Agreement（3）

Delivery Date

November 1, 2019

November 25, 2019 (planned）

5. Outlook
This capital and business alliance is expected to contribute to the Company's performance over themedium- to long-term. At present, this will not have a significant impact to Company's consolidated
financial results for this fiscal year.
(For Reference)
Consolidated Earnings Forecasts for This Fiscal Year (announced on July 12, 2019) and Consolidated
Results for the Previous Fiscal Year(millions of yen)

Net Sales

Operating Profit

Ordinary Profit

Profit Attributable toOwners of Parent

Forecasts for theFiscal Year Ending
May 31, 2020

13,816

724

670

―

Results for the Fiscal
Year Ended May 31,2019

10,206

(849)

(891)

(945)

*Note: Although the Company is expecting to return to the black and post a profit attributable to ownersof parent for this fiscal year, it is difficult to make a precise forecast. Accordingly, the Company will refrainfrom disclosing a concrete forecast at this point in time.

4