Ichigo Green(9282)

FY18/6 H1 Corporate Presentation
January 13,
February
14, 2017
2018

Ichigo Green Infrastructure Investment Corporation
Ichigo Investment Advisors Co., Ltd.

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

www.ichigo-green.co.jp/en

Ichigo Preserves andImproves Real Estate© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Contents
FY18/6 H1 Results

Solar Power Plant Data

‒ Earnings‒ Solar Power Generation vs. Forecast‒ Solar Power Generation (YOY)‒ Power Generation by Individual Power Plant‒ Financing Details

Driving Shareholder Value‒ Solar Power Plant Portfolio Details‒ Solar Power Plant Map‒ Solar Power Plant Portfolio‒ Individual Solar Power Plant Earnings‒ Individual Solar Power Plant Details

Appendix‒ Stock Split‒ Japan’s First Ten-Year Earnings Forecast‒ World-Class Disclosure: Real-Time Power Production Data
‒ Ichigo (2337) Power Plant Performance Guarantee

Growth Strategy Leveraging Sponsor Strengths‒ Ichigo Green’s Sponsor: Ichigo (2337)‒ Synergies Between Ichigo Green and Ichigo‒ Ichigo & Ichigo Green Solar Power Plant Portfolio‒ Customized Solar Power Plant Builds‒ Fully-Networked Panel-Level Production Monitoring© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

FY18/6 H1 Results© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

5

Earnings− Net Income Beat Forecast by 20.3%− Annual Dividend to be Paid in June 2018
(JPY million)

FY18/6
H1 Forecast

FY18/6
H1 Actual

vs. Forecast

FY18/6Full-Year Forecast

Operating Revenue

537

548

102.2%

1,095

Operating Expenses

424

426

100.4%

832(Depreciation)

317

318

100.0%

635

Operating Profit

112

122

108.7%

262

Recurring Profit

5465

120.6%

147

Net Income

5364120.3%

146

DPS

–

–

–

JPY 3,590(excluding DEE)

–

–

–

JPY 1,410

(DEE)

–

–

–

JPY 2,180

15

15

–

15

Number of Power Plants* DEE = Dividend in Excess of Earnings. The DEE is paid from Ichigo Green’s solar power production revenues (which Ichigo Green receives in cash) that are nottreated as income under Japanese tax, because they are offset by non-cash depreciation expenses.
FY18/6 H1 Forecast announced in the August 9, 2017 “FY17/6 Earnings.” FY18/6 Full-Year Forecast announced in the November 28, 2017 release “Stock Split.”© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

6

Solar Power Generation vs. Forecast
Solar Power Generation +1% vs. Forecast
FY18/6 H1 Power Generation and Power Production Revenue (15 Power Plants)(JPY million)(kWh)5,000,000

150
147

Forecast Power Generation
Actual Power Generation
Power Production Revenue

133

120

4,000,000
118
101

3,000,000

90
85
73

2,000,000

60

1,000,0003000July 2017

Aug

Sep

Oct

Nov

Dec

Jan 2018

Feb

Mar

Apr

May

Jun

* Forecast power generation is a third-party, 50% probability mean annual production forecast (P50 forecast) that serves as the base forecast foreach solar power plant’s operating plan.
Power production revenue is total power sales to power purchasers (electric power utilities). Power production is seasonal, being lower in June
due to Japan’s rainy season and in September through February due to fewer productive daylight hours during autumn/winter.
© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

7

Solar Power Generation (YOY)− 2 Accretive Power Plant Acquisitions on Jul 3, 2017 (current total: 15 Plants)− Power Generation +15.6% YOY(kWh)5,000,000
FY17/6 Actual (13 Power Plants)

Jul-Dec 2016 Actual: 14.88 million kWh
Jul-Dec 2017 Actual: 17.20 million kWh(+2.32 million kWh, +15.6% YOY)

FY18/6 Actual (15 Power Plants)
4,000,000

3,000,000

2,000,000

1,000,000

0
July

Aug

Sep

Oct

Nov

Dec

Jan

Feb

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Mar

Apr

May

Jun

8

Power Generation by Individual Power Plant
Geographically Diverse Portfolio Contributes to Earnings Stability
Actual Power
Generation (B)(kWh)

Difference(B) - (A)(kWh)

Actual Power
Production
Revenue(JPY thousand)Operating
Revenue(JPY thousand)*Solar Power Plant

Forecast Power
Generation (A)(kWh)

Ichigo Kiryu Okuzawa

728,841754,302+25,461

29,521

22,957

Ichigo Motomombetsu

731,078

736,165+5,08728,912

22,974

Ichigo Muroran Hatchodaira

662,723

675,939+13,216

26,44921,532

Ichigo Engaru Kiyokawa

575,757

560,744-15,013

22,29818,247

Ichigo Iyo Nakayamacho Izubuchi

705,429

644,986-60,443

25,95021,935

Ichigo Nakashibetsu Midorigaoka

1,001,062

1,110,943+109,881

43,40936,310Ichigo Abira Toasa

592,244645,663+53,419

25,80820,840Ichigo Toyokoro

577,542

635,877+58,335

25,266

20,8575,250,367

5,244,780-5,587

207,856

178,298

639,150

597,194-41,956

23,462

19,4101,494,739

1,440,096-54,643

51,71347,825865,344839,717-25,627

29,51523,5181,042,191

1,107,455+65,264

35,28024,735

Ichigo Yamaguchi Aionishi

731,891

742,381+10,490

29,092

24,698

Ichigo Yamaguchi Sayama

1,424,351

1,472,062+47,71151,95644,697

17,022,717

17,208,311+185,594

656,492

548,840

Ichigo Nago Futami
Ichigo Engaru Higashimachi
Ichigo Takamatsu Kokubunjicho Nii
Ichigo Miyakonojo Yasuhisacho
Ichigo Toyokawa Mitocho Sawakihama

Total* Operating Revenue = Power Production Revenue – Operating Expenses
Note: Data for Ichigo Yamaguchi Aionishi and Ichigo Yamaguchi Sayama are of July 3, 2017 to December 31, 2017.
© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

9

Financing Details
Locked-In Low Long-Term Borrowing Costs via Interest Rate Swaps
As of December 31, 2017

Interest Rate(%)

Fixed/Floating

Borrowing
Date

Maturity

Loan
Term

5,892

0.760

Fixed

Dec 1, 2016

Nov 30, 2026

10 yearsMizuho Bank

464

0.815

Fixed

Jul 3, 2017

Jun 30, 2027

10 years

Yamaguchi Bank

978

0.815

Fixed

Jul 3, 2017

Jun 30, 2027

10 years

7,336

Average 0.771%

Loan

LenderTerm Loan I

Mizuho Bank, SMBC

Term Loan II
Term Loan III

Amount(JPY million)

Total

LTV (Current & Forecast)
FY17/6(Actual)FY18/6

FY19/6

FY20/6

FY21/6

FY22/6

FY23/6

FY24/6

FY25/6

FY26/6

57.4%

58.6%

58.2%

57.8%

57.1%

56.5%

55.6%

54.7%

53.7%

52.4%

Interest Bearing Liabilities ÷ FFO (Current & Forecast)

Outstanding
Loan Amount

FY17/6(Actual)FY18/6

FY19/6

FY20/6

FY21/6

FY22/6

FY23/6

FY24/6

FY25/6

FY26/6

15.5X

8.8X

8.3X

7.8X

7.1X

6.6X

6.0X

5.4X

4.8X

4.3X

JPY 6,858M

JPY 7,160M JPY 6,733M JPY 6,310M JPY 5,876M JPY 5,439M JPY 4,991M JPY 4,543M JPY 4,090M JPY 3,637M© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

10

Driving Shareholder Value© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

11

Stock Split
Two-for-One Stock Split to Support Share Liquidity and Make it Easier for Individual
Investors to Buy Ichigo Green Shares
Record Date
Effective Date
Number of Shares before the Stock Split
Share Increase due to the Stock Split
Number of Shares after the Stock Split

December 31, 2017
January 1, 2018
51,483 shares
51,483 shares
102,966 shares

Daily Trading Volume (Nov 28, 2017 to Jan 31, 2018)(Shares)800

Dec 26, 2017
Final trading date forsettlement before
the stock split

600

400

Dec 27, 2017 to Jan 31, 2018
Average Trading Volume: 318 shares per day

Nov 28, 2017 (Announcement date) to Dec 26, 2017
Average Trading Volume:133 shares per day

200

0201711/28

12/1

12/6

12/11

12/14

12/19

12/22

12/27

20181/4

1/10© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

1/15

1/18

1/23

1/26

1/31

12

Japan’s First Ten-Year Earnings Forecast− Dividend per Share Forecasts Adjusted to Reflect Stock Split− No Actual Change in Earnings and Dividend Forecasts
Ten-Year Dividend & FFO Forecast (Post-Stock Split)

FFO per ShareDPS

FY17/6

FY18/6

FY19/6

FY20/6

FY21/6

FY22/6

FY23/6

FY24/6

FY25/6

FY26/6

4,305
2,139

7,938
3,590

7,911
3,560

7,816
3,580

7,982
3,820

8,002
3,945

8,146
4,095

8,136
4,065

8,253
3,885

8,211
3,540
(JPY)

Dividend per Share (excluding DEE)
DEE per Share

1,750

1,895

1,860

1,410

1,375

1,390

1,625

2,180

2,185

2,190

2,195

2,195

2,200

2,205

2,010

1,825

FY18/6

FY19/6

FY20/6

FY21/6

FY22/6

FY23/6

FY24/6

FY25/6

FY26/6

1,875

1,715

869

1,270
FY17/6*(Actual)Amortization of TSE listing andnew share-issuance expenses

Capex based on longterm capex plan

Amortization of expenses related to
Ichigo Green establishment* Two-for-one stock split on Jan 1, 2018 (record date: Dec 31, 2017).
FY17/6 per share amounts have been adjusted to reflect stock split.
Ichigo Green’s actual operating timeframe during FY17/6 was from Dec 1, 2016, the day it acquired its first power plants, to Jun 30, 2017 (7 months).
© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

13

World-Class Disclosure: Real-Time Power Production Data
Real-Time Individual Power Plant Data and Live Camera Video Feeds

Live Camera

Ichigo Green HP
www.ichigo-green.co.jp/en© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

14

Ichigo (2337) Power Plant Performance Guarantee
Further Supports and Solidifies Long-Term Returns
 Power generation Operating Revenue fully distributed to Ichigo Green
shareholders
 Above-forecast Operating Revenue also fully distributed— Guaranteed base revenue (FIT electricity sales revenue) from Ichigo (2337) based on the annual
P85 production forecast regardless of actual power generation— Power plants carry P&C, earthquake, and operating performance insurance* Earthquake insurance only purchased for power plants where third-party
assessment concludes earthquake risk warrants

Operator-Guaranteed Base Revenue

Annual P85
Production Forecast

Annual P50 Production Forecast(basis for Ichigo Green earnings forecast)

Ichigo-Guaranteed
Base Revenue
FIT power production revenue (lessoperating expenses) based on
annual P85 production forecast

Operating Expenses

Additional
Revenue

Additional Revenue (>P85 forecast)fully distributed as dividend

Incremental operating expenses© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

15

Growth Strategy Leveraging Sponsor Strengths© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

16

Ichigo Green’s Sponsor: Ichigo (2337)‒ Core Businesses: Real Estate Asset Management, Real Estate Value-Add, Clean Energy‒ Manages 2 TSE REITs (Ichigo Office 8975 & Ichigo Hotel 3463) and a TSE Solar
YieldCo (Ichigo Green 9282)‒ JPX-Nikkei 400 Member‒ Committed to CSR and Sustainability■ Ichigo Structure
Ichigo(TSE First Section 2337)

Ichigo Preserves andImproves Real Estate

The word “Ichigo” comes from the ancient Japanese
proverb, Ichigo Ichie, literally meaning “One lifetime,
one encounter.” The phrase was first used by a 16th
century master of the tea ceremony, Sen no Rikyu.
He called upon his disciples to give total focus andsincerity to each act of the tea ceremony for every
guest, because that particular moment will only exist
once and must be fully lived and realized.
Ichigo embraces the Ichigo Ichie philosophy ofsincerity and service, and works to build strong longterm relationships to support the success of ourclients, shareholders, and all stakeholders.

Ichigo Investment Advisors Co., Ltd.

Asset manager of Ichigo Office REIT (8975), Ichigo Hotel REIT (3463), andIchigo Green (9282)

Ichigo Estate Co., Ltd.

Real estate value-add

Ichigo ECO Energy Co., Ltd.

Clean energy business focusing on utility-scale solar power production,
making purposeful use of unused land nationwide

Ichigo Owners Co., Ltd.

Real estate owner services

Ichigo Land Shinchiku Co., Ltd.

Real estate value-add

Ichigo Real Estate Services Fukuoka
Co., Ltd.

Real estate business centered on Fukuoka in Kyushu region

Ichigo Marché Co., Ltd.

Operates Matsudo Nanbu wholesale market in Chiba Prefecture

Miyako City Co., Ltd.

Operates Miyako City, a large shopping mall in Miyazaki Prefecture© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

17

Synergies Between Ichigo Green and Ichigo− Ichigo-provided solar and wind power plant pipeline− Power plant technical capabilities backed by Ichigo ECO Energy’s
nationwide solar power operating track record− Ichigo Investment Advisor’s asset management capabilities
Value-Add Business Model
Green
Infrastructure

Solar Plants
Buy

Ichigo Green(9282)
OfficeIchigo Office(8975)
Hotel

Ichigo Hotel(3463)

Sell

Value-Add
Real
不動産
EstatePreserve &ImproveReal
EstateThirdParty
Investors

Sell

Buy

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

18

Ichigo & Ichigo Green Solar Power Plant Portfolio
Serving Local Communities and the Environment

Ichigo Engaru Higashimachi(1.24MW)

Total Operating and In-Development
Ichigo Solar Power Plants

Ichigo Motomombetsu(1.40MW)

Ichigo Engaru Kiyokawa(1.12MW)

44 Plants (134MW)

Ichigo Abira Toasa(1.16MW)

Ichigo Yubetsu Barou(0.80MW)

Currently Operating

Ichigo Muroran Hatchodaira(1.24MW)

35 Plants (102MW)

Ichigo Nakashibetsu
Midorigaoka(1.93MW)

Ichigo Hamanaka Bokujo Tsurunokotai(2.31MW)

Ichigo Betsukai Kawakamicho(0.88MW)

Ichigo Hamanaka Bokujo Kajibayashi(2.31MW)
Ichigo Higashi-Hiroshima
Saijocho Taguchi (2.72MW)

Ichigo Kure Yasuuracho Nakahata(2.90MW) Online in 2018/3
Ichigo Nago Futami(8.44MW)
Ichigo Yamaguchi Aionishi(1.24MW)
Ichigo Yamaguchi Sayama(2.35MW )Ichigo Itoshima Ihara(1.29MW) Online in 2018/7

Ichigo Sera Tsukuchi(2.54MW)

Ichigo Akkeshi Shirahama(0.80MW)

Ichigo Sera Aomizu(2.87MW)

Ichigo Memuro Nishishikari(1.32MW)

Ichigo Maebashi Naegashima(0.67MW)

Ichigo Toyokoro
Sasadamachi (0.60MW)

Ichigo Fuchu Jogecho Yano
(0.99MW)

Ichigo Toyokoro(1.02MW)

Ichigo Minakami Aramaki(12.02MW) Online in 2019/10

Ichigo Yonago Izumi(2.61MW)

Ichigo Showamura Ogose(43.34MW)

Ichigo Kasaoka Iwanoike(2.61MW) Online in 2018/3

Ichigo Kiryu Okuzawa(1.33MW)

Ichigo Kasaoka Takumicho(1.11MW)

Ichigo Hitachi Omiya(2.96MW) Online in 2019/11
Ichigo Toride Shimotakai Kita
(1.03MW)
Ichigo Toride Shimotakai Minami(0.54MW)

Ichigo Kijo Takajo(0.89MW)

Ichigo Toki Tsurusatocho Kakino(1.26MW) Online in 2018/3

Ichigo Miyakonojo Takazakicho
Tsumagirishima (2.64MW)
Online in 2021/11
Ichigo Miyakonojo Yasuhisacho(1.44MW)

Ichigo Toki Oroshicho(1.39MW)
Ichigo Tokushima
Higashi-Okinosu (2.52MW)

Ichigo Toyokawa Mitocho Sawakihama(1.80MW)

Ichigo Takamatsu Kokubunjicho
Nii (2.43MW)

Ichigo Takashima Kutsuki(3.75MW) Online in 2019/11

Ichigo Iyo Nakayamacho Izubuchi(1.23MW)

Ichigo Tsu(2.94MW) Online in 2018/3© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

IchigoIchigo Green (9282)
19

Customized Solar Power Plant Builds
Optimized to Local Meteorologies to Maximize Power Production Efficiency− Snow (Hokkaido): High mounting racks and 30 degree panel inclination to
avoid and displace snow coverage (vs. 10 degree in other areas)− High winds (Kagawa): Mounting racks closely fit to site inclines− Typhoons（Okinawa）: Mounting racks with extra load capacities capable ofwithstanding wind velocities of 60m per second

Ichigo Engaru Higashimachi ECO Power Plant Ichigo Takamatsu Kokubunjicho Nii ECO Power Plant(Hokkaido)(Kagawa)

Ichigo Nago Futami ECO Power Plant(Okinawa)

Third-Party Certification− Ichigo Kiryu Okuzawa ECO Power Plant received a domestic andinternational certification from third-party inspection agency, TUV Rheinland,
making it the second solar plant to be certified in Japan− Thorough on-site plant inspections throughout construction and operation© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

20

Fully-Networked Panel-Level Production Monitoring
Real-Time Monitoring System Immediately Detects Any Failures at thePanel Level

Inverter

Comprehensive Monitoring System
Schematic

Comprehensive Monitoring
SystemMonitoring & Analysis• Real‐time monitoring• Immediate response capability• Real‐time analysis ofproduction data for early
detection of malfunctions© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

21

Solar Power Plant Data

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

22

Solar Power Plant Portfolio Details
As of December 31, 2017

No. of Power Plants

Acquisition Price

Panel Output

15

JPY 11.4B

29.43MWAverage FIT

CO2 Reduction

Annual Power
Generation

JPY 38.7

22,850 Tons

10,638 Households* Annualized CO2 reduction relative to fossil fuels based on each plant’s forecast power generation. Annualized number of households based oneach plant’s projected forecast generation assuming monthly power consumption per household is 271.2KWh.

By Region

By Years in Operation
1-2 years
in operation
8.1%

Okinawa
29.8%

Kyushu4.5%>4 yearsin operation
4.3%

Hokkaido
30.2%

Shikoku
13.9% Chugoku
12.8%

3-4 years
in operation
30.3%

Kanto
4.3%

2-3 years
in operation
57.4%

By FIT

JPY 32
4.6%
JPY 3622.3%
JPY 40
73.1%

Chubu
4.6%
* Graph data are based on acquisition price.

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

23

Solar Power Plant Map
Geographically Diversified
Ichigo Motomombetsu
1.40MW

Ichigo Nago Futami
8.44MW

Ichigo Iyo Nakayamacho Izubuchi
1.23MW

Ichigo Yamaguchi Aionishi
1.24MW

Ichigo Engaru Higashimachi
1.24MW

Ichigo Abira Toasa
1.16MW

Ichigo Engaru Kiyokawa
1.12MW

Ichigo Muroran Hatchodaira
1.24MW

Ichigo Nakashibetsu Midorigaoka
1.93MW
Ichigo Kiryu Okuzawa
1.33MW

Ichigo Toyokoro
1.02MW

Ichigo Yamaguchi Sayama
2.35MW

Ichigo Toyokawa Mitocho Sawakihama
1.80MW

Ichigo Miyakonojo Yasuhisacho Ichigo Takamatsu Kokubunjicho Nii
2.43MW
1.44MW© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

15 Plants (29MW)
24

Solar Power Plant Portfolio
As of December 31, 2017
No.

Solar Power Plant

Location

Appraisal

Acquisition
Date

Book Value

Value(JPY million)

1

Panel
2

Output
(MW)

3

FIT
(JPY)

Portfolio
4WeightE-01

Ichigo Kiryu Okuzawa

Kiryu City, Gunma

Dec 2016

468

508

1.33

40

4.22%

E-02

Ichigo Motomombetsu

Mombetsu City, Hokkaido

Dec 2016

475

513

1.40

40

4.28%

E-03

Ichigo Muroran Hatchodaira

Muroran City, Hokkaido

Dec 2016

448

486

1.24

40

4.04%

E-04

Ichigo Engaru Kiyokawa

Mombetsu County, Hokkaido

Dec 2016

383

400

1.12

40

3.45%

E-05

Ichigo Iyo Nakayamacho Izubuchi

Iyo City, Ehime

Dec 2016

453

494

1.23

40

4.08%

E-06

Ichigo Nakashibetsu Midorigaoka

Shibetsu County, Hokkaido

Dec 2016

738

764

1.93

40

6.65%

E-07

Ichigo Abira Toasa

Yufutsu County, Hokkaido

Dec 2016

425

450

1.16

40

3.83%

E-08

Ichigo Toyokoro

Nakagawa County, Hokkaido

Dec 2016

418

449

1.02

40

3.76%

E-09

Ichigo Nago Futami

Nago City, Okinawa

Dec 2016

3,283

3,688

8.44

40

29.60%

E-10

Ichigo Engaru Higashimachi

Mombetsu County, Hokkaido

Dec 2016

447

466

1.24

40

4.03%

E-11

Ichigo Takamatsu Kokubunjicho Nii

Takamatsu City, Kagawa

Dec 2016

1,084

1,136

2.43

36

9.77%

E-12

Ichigo Miyakonojo Yasuhisacho

Miyakonojo City, Miyazaki

Dec 2016

499

545

1.44

36

4.50%

E-13

Ichigo Toyokawa Mitocho Sawakihama

Toyokawa City, Aichi

Dec 2016

504

499

1.80

32

4.54%

E-14

Ichigo Yamaguchi Aionishi

Yamaguchi City, Yamaguchi

Jul 2017

544

553

1.24

40

4.90%

E-15

Ichigo Yamaguchi Sayama

Yamaguchi City, Yamaguchi

Jul 2017

921

917

2.35

36

8.30%

11,088

11,871

29.43

38.7

100%

Total (15 Solar Power Plants)

1 Appraisal Value is from PwC Sustainability LLC’s Valuation Report using values as of June 30, 2017 (E-01 through E-13) and May 31, 2017 (E-14 and E-15). The

values are medians of the appraisal value ranges shown in the Report.
2 Panel Output is derived by multiplying the maximum output of a single solar panel by the total number of panels
3 FIT (Feed-In Tariff) is the purchase price agreed in the respective Power Purchase Agreements for each solar power plant
4 Portfolio Weight is based on book value© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

25

Individual Solar Power Plant Earnings (Jul-Dec 2017)
Operating Expenses (Maintenance, Property, Insurance Expenses) :16.5% of Power Generation Revenue
Property Tax Included in Acquisition Cost and Not Expensed(JPY thousand)Leaseholder

Ichigo GreenPower
Production
Revenue

OperatingExpenses

RentalRevenue

RentalExpenses

Ichigo Kiryu Okuzawa

29,521

6,564

22,957

3,224

19,732

14,883

4,849

Ichigo Motomombetsu

28,912

5,937

22,974

2,218

20,755

14,702

6,053

Ichigo Muroran Hatchodaira

26,4494,916

21,532

2,100

19,431

13,812

5,619

Ichigo Engaru Kiyokawa

22,2984,050

18,247

1,791

16,456

11,794

4,662

Ichigo Iyo Nakayamacho Izubuchi

25,9504,801

21,935

2,114

19,821

13,8995,921

Ichigo Nakashibetsu Midorigaoka

43,4097,099

36,3103,401

32,90921,838

11,070Ichigo Abira Toasa

25,808

4,967

20,8401,957

18,882

12,510

6,372

Ichigo Toyokoro

25,266

4,408

20,857

1,966

18,891

12,311

6,578

Ichigo Nago Futami

207,856

29,558178,298

15,234

163,063

95,34367,720Ichigo Engaru Higashimachi

23,462

4,051

19,4102,102

17,30813,036

4,271

Ichigo Takamatsu Kokubunjicho Nii

51,713

3,888

47,825

4,654

43,17027,174

15,995

Ichigo Miyakonojo Yasuhisacho

29,515

5,997

23,5182,356

21,162

14,190

6,971

Ichigo Toyokawa Mitocho Sawakihama

35,280

10,54524,7352,363

22,371

14,223

8,148

Ichigo Yamaguchi Aionishi

29,092

4,393

24,698

7

24,69013,037

11,653

Ichigo Yamaguchi Sayama

51,956

7,258

44,697

944,68825,256

19,432

656,492

108,439548,840

45,503503,336

318,015

185,321

Solar Power Plant

Total

NOI

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Depreciation
ExpenseRentalIncome26

Individual Solar Power Plant Details
E-01 Ichigo Kiryu Okuzawa
Forecast Power Generation
Actual Power Generation

Location

Gunma

Area

27,588m2

Operation
Start Date

Sep 30, 2013

150,000

Panel Output

1.33MW

100,000

FIT

JPY 40

FIT Period

Sep 29, 2033

Power
Purchaser

TEPCO Energy
Partner(kWh)200,000

50,0000
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-02 Ichigo Motomombetsu
Forecast Power Generation
Actual Power Generation

Location

Hokkaido

Area

48,946m2

Operation
Start Date

Feb 3, 2014

150,000

Panel Output

1.40MW

100,000

FIT

JPY 40

FIT Period

Feb 2, 2034

Power
Purchaser(kWh)

200,000

50,0000

Hokkaido Electric

Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

27

Individual Solar Power Plant Details
E-03 Ichigo Muroran Hatchodaira
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

35,801m2

Operation
Start Date

Mar 3, 2014

150,000

Panel Output

1.24MW

100,000

FIT

JPY 40

FIT Period

Mar 2, 2034

Power
Purchaser

Hokkaido Electric(kWh)200,000

50,0000
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-04 Ichigo Engaru Kiyokawa
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

27,164m2

Operation
Start Date

Mar 4, 2014

150,000

Panel Output

1.12MW

100,000

FIT

JPY 40

FIT Period

Mar 3, 2034

(kWh)200,000

50,0000Power
Purchaser

Hokkaido Electric

Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

28

Individual Solar Power Plant Details
E-05 Ichigo Iyo Nakayamacho Izubuchi
Forecast Power Generation
Actual Power Generation

Location

Ehime

Area

26,260m2

200,000

Operation
Start Date

Apr 2, 2014

150,000

Panel Output

1.23MW

FIT

JPY 40

FIT Period

Apr 1, 2034

Power
Purchaser(kWh)

100,000
50,0000
Jul Aug
2017

Shikoku Electric

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-06 Ichigo Nakashibetsu Midorigaoka
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

54,870m2

Operation
Start Date

Nov 4, 2014

Panel Output

1.93MW

150,000

FIT

JPY 40100,000

FIT Period

Nov 3, 2034

Power
Purchaser

Hokkaido Electric(kWh)300,000
250,000
200,000

50,0000
Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

29

Individual Solar Power Plant Details
E-07 Ichigo Abira Toasa
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

29,730m2

Operation
Start Date

Dec 2, 2014

Panel Output

1.16MW

100,000

FIT

JPY 4050,000

FIT Period

Dec 1, 2034

Power
Purchaser

Hokkaido Electric(kWh)200,000
150,000

0
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-08 Ichigo Toyokoro
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

29,004m2

Operation
Start Date

Dec 4, 2014

150,000

Panel Output

1.02MW

100,000

FIT

JPY 4050,000

FIT Period

Dec 3, 2034

Power
Purchaser

Hokkaido Electric(kWh)200,000

0
Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

30

Individual Solar Power Plant Details
E-09 Ichigo Nago Futami
Location

OkinawaArea

146,294m2

Operation
Start Date

Feb 2, 2015

Panel Output

8.44MW

FIT

JPY 40

FIT Period

Feb 1, 2035

Power
Purchaser

Okinawa Electric

Forecast Power Generation
Actual Power Generation(kWh)1,500,000
1,200,000
900,000
600,000
300,000
0
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-10 Ichigo Engaru Higashimachi
Forecast Power Generation
Actual Power Generation

Location

HokkaidoArea

46,329m2

Operation
Start Date

Feb 3, 2015

150,000

Panel Output

1.24MW

100,000

FIT

JPY 4050,000

FIT Period

Feb 2, 2035

Power
Purchaser

Hokkaido Electric(kWh)200,000

0
Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

31

Individual Solar Power Plant Details
E-11 Ichigo Takamatsu Kokubunjicho Nii
Forecast Power Generation
Actual Power Generation

Location

KagawaArea

79,340m2

Operation
Start Date

Jun 2, 2015

300,000

Panel Output

2.43MW

200,000

FIT

JPY 36

100,000

FIT Period

Jun 1, 2035

Power
Purchaser

Shikoku Electric(kWh)400,000

0
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

E-12 Ichigo Miyakonojo Yasuhisacho
Forecast Power Generation
Actual Power Generation

LocationMiyazakiArea

94,165m2

Operation
Start Date

Jul 8, 2015

150,000

Panel Output

1.44MW

100,000

FIT

JPY 36

FIT Period

Jul 7, 2035

Power
Purchaser

Kyushu Electric(kWh)200,000

50,0000
Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

32

Individual Solar Power Plant Details
E-13 Ichigo Toyokawa Mitocho Sawakihama
Location

Aichi

Area

19,393m2

Forecast Power Generation
Actual Power Generation(kWh)

300,000
250,000

Operation
Start Date

Sep 16, 2015

Panel Output

1.80MW

FIT

JPY 32200,000
150,000
100,000
50,000

FIT Period

Sep 15, 2035

Power
Purchaser

Chubu Electric0
Jul Aug
2017

Sep

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

Acquired July 2017

E-14 Ichigo Yamaguchi Aionishi
Forecast Power Generation
Actual Power Generation

Location

YamaguchiArea

19,815m2

Operation
Start Date

Dec 7, 2015

150,000

Panel Output

1.24MW

100,000

FIT

JPY 40

FIT Period

Dec 6, 2035

Power
Purchaser(kWh)

200,000

50,0000Chugoku Electric

Jul Aug
2017

Sep© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Oct

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

33

Individual Solar Power Plant Details
Acquired July 2017

E-15 Ichigo Yamaguchi Sayama
Forecast Power Generation
Actual Power Generation

Location

YamaguchiArea

43,621m2

Operation
Start Date

Apr 6, 2016

300,000

Panel Output

2.35MW

200,000

FIT

JPY 36

100,000

FIT Period

Apr 5, 2036

Power
Purchaser

ChugokuElectric(kWh)400,000

0
Jul Aug
2017

Sep

Oct

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

Nov

Dec

Jan Feb
2018

Mar

Apr

May

Jun

34

Appendix© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

35

Mission & Deliverables to Shareholders
Mission: To maximize shareholder value via a renewable energy portfoliothat provides both return stability and growth potential, along with offering
investors an opportunity to invest in Japan’s rapidly expanding green
infrastructure asset class
Ichigo Green’s Deliverables to its Shareholders
Stable &Growing EPS

・ Invests in solar power plants with 20-year FIT (Feed-In Tariff) power sale contracts
・ Long-term and stable operation of robust plants with a comprehensive real-time monitoring system
・ Geographically diverse power plant portfolio
・ Earnings stability backed by performance guarantees from power plant operator

Leverage Sponsor
Ichigo’s Strengths

・ Power plant operator is Ichigo ECO Energy, with a strong track-record developing and operating
32 solar power plants nationwide.
・ Asset management company has extensive experience managing Ichigo Office (8975) and Ichigo
Hotel (3463).

Maximize
Shareholder
Value・ Because solar power plants are depreciable, Ichigo Green has substantial non-cash depreciation
expenses that lower its accounting-based EPS. These additional cash earnings are deployed to
pay a higher dividend.

No. of Shares
Offered at IPO

51,483 shares *(including underwriter allotment)

Issue Price

JPY 100,000 per share

Offering AmountJPY 4,954 million

TSE Listing

December 1, 2016

*The total number of issued shares after the stock split is 102,966 shares.
© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

36

Reference: Japan’s Feed-In Tariff (FIT)
What is a FIT?
‒ A policy mechanism designed to accelerate the deployment of renewableenergy such as solar and wind, guaranteeing a long-term sale price forelectricity (in Japan, 20 years) at a fixed price.
‒ Japan’s FIT is updated every year.
Contract Date

FIT

FIT
PeriodContract Date

FIT

FIT
PeriodFY2012

JPY 4020 years

FY2015 (7/1 - 3/31)

JPY 2720 years

FY2013

JPY 3620 years

FY2016

JPY 2420 years

FY2014

JPY 3220 years

FY2017

JPY 21*20 years

FY2015 (4/1 - 6/30)

JPY 2920 years

Pre-consumption tax FIT for power plants with output of >10kW
Source: METI, Agency for Natural Resources and Energy* FIT for >2MW non-residential solar power production determined via auction process© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

37

Ichigo Green Structure
Ichigo Green
Electric Utility
Companies
FIT Solar
Power
Sales

Power Production
Revenue
Lease

Leaseholder(SPC)
Power Plant
Operation

Borrowings

Rent

Borrow
Repay

Banks

Solar Power
PlantsOperator Fee

Operator
Ichigo ECO Energy
Shareholders’Equity100% Subsidiary

Sponsor
Ichigo (2337)

SponsorSupportAsset Management

100% Subsidiary

InvestPay Dividends

Shareholders

Management Fee

Ichigo Investment
Advisors© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

38

Shareholder Composition
Major Shareholders (as of December 31, 2017)
Name
1 Ichigo Trust Pte. Ltd.
2 Ichigo Inc.

Shareholdings by Shareholder TypeNo. ofShares
7,897
3,000

3 BARCLAYS CAPITAL SECURITIES LIMITED

Share
15.3%
5.8%

Foreign Corporations & Individuals

Domestic Financial Institutions

Non-Financial Domestic Corporations

Domestic Individuals

100%
80%

14,004 shares(27.2%)
5,628 shares(10.9%)
2,120 shares(4.1%)

18,716 shares(36.3%)

2,345

4.5%

60%

2,261

4.3%

40%

5 CGML - LONDON EQUITY

2,102

4.0%

6 Morgan Stanley MUFG Securities Co., Ltd.

1,032

2.0%

7 GOLDMAN, SACHS & CO. REG

1,000

1.9%

8 DEUTSCHE BANK AG LONDON 610

656

1.2%

9 Individual Shareholder

552

1.0%

Shareholders by Shareholder Type

10 CLEARSTREAM BANKING S.A.

550

1.0%

21,395

41.5%

Jun 30, 2017
Dec 31, 2017
Shareholders Share Shareholders Share
Domestic Individuals
3,796
97.2%
4,018
97.5%
Financial Institutions
13
0.3%
13
0.3%
City banks, regional banks––
2–
Trust banks
1–
1–
Other (including securities companies)
12
0.3%
10
0.2%
Non-Financial Domestic Corporations
72
1.8%
58
1.4%
Foreign Corporations & Individuals
23
0.5%
29
0.7%
Total
3,904 100.0%
4,118 100.0%

4MACQUARIE BANK LIMITED - MBL
LONDON BRANCH

Total

20%

29,731 shares(57.7%)

4,927 shares(9.5%)
2,719 shares(5.2%)
25,121 shares(48.7%)

0%Jun 30, 2017
(51,483 shares) *Dec 31, 2017
(51,483 shares) ** Number of shares outstanding© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

39

Share Price (Dec 1, 2016 to Jan 31, 2018)
TSE Infrastructure Listing on Dec 1, 2016 （Securities Code 9282）(JPY)(Shares Traded)

90,000Ichigo GreenTSE REIT Index

18,000

Final trading date forsettlement before
the two-for-one
stock split
Dec 26, 2017

Trading Volume

80,00015,00070,00012,00060,0009,000

50,0006,000

40,0003,000

30,0002016/12/1

0
2017/1/1

2017/2/1

2017/3/1

2017/4/1

2017/5/1

2017/6/1

2017/7/1

2017/8/1

2017/9/1

2017/10/1*Share price and shares traded from Dec 1, 2016 to Dec 26, 2017 has been adjusted to reflect stock split.
© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

2017/11/1

2017/12/1

2018/1/1

Source: Bloomberg

40

Ichigo Green Overview
Investment Corporation
Name

Ichigo Green Infrastructure Investment Corporation

Securities Code9282

Location

1-1-1 Uchisaiwaicho, Chiyoda-ku, Tokyo

Executive Director

Mami Nagasaki

Fiscal Year

July 1 to June 30 (Half-Year is July 1 to December 31)

Asset Management Company
Name

Ichigo Investment Advisors Co., Ltd.

President

Wataru Orii

Registration & Membership

Financial Instruments Dealer License (Investment Management Services,
Investment Advisory & Agency Services, and Type II Financial Instruments
Services): Minister of Finance, Kanto Financial Bureau #318

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

41

MEMO

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

42

These materials are for informational purposes only, and do not constitute or form a part of, and should not be construed as,
an offer to sell or buy securities of Ichigo Green Investment Corporation (Ichigo Green).
These materials may contain forward-looking statements regarding the intent, belief or current expectations of Ichigo Green
with respect to financial condition and future results. These statements are based on certain assumptions founded on
currently available information. Accordingly, such statements are subject to risks and uncertainties, and there is no assurance
as to actual financial conditions or future results. Actual results may vary from those indicated in the forward-looking
statements.
In creating these materials, Ichigo Green and Ichigo Investment Advisors Co., Ltd. (IIA) have sought to provide accurate
information. However, there can be no assurance given as to the accuracy, certainty, validity or fairness of any suchinformation. The content of these materials is also subject to revision or retraction without prior notice.
This document is a translation. If there is any discrepancy between the Japanese version and the English translation, theJapanese version shall prevail.

Contact:
Ichigo Green IR Desk (9282)
TEL: +81-3-3502-4854 FAX:+81-3-3502-4835
E-mail： ir_green@ichigo.gr.jp
www.ichigo-green.co.jp/en
Ichigo is Japan’s first zero-carbon listed real estate company. We are taking
responsibility for our environmental footprint by offsetting our carbon emissions
and investing in low-carbon technologies such as solar energy.

© 2018 Ichigo Investment Advisors Co., Ltd. Ichigo Green Infrastructure Investment Corporation All rights reserved.

43