Financial Results Overview
for the 1st Quarter Ended
June 30, 2020
Japan Asia Investment Co., Ltd. (JAIC)( TSE 8518 )Announcement: August 14, 2020

The contents of this document are based on materials available at the time of its compilation and no guarantee can be made as to the continued
accuracy and reliability of the material. The contents may be changed without prior notice. Risks and uncertainties including changes to economic
circumstances may cause results and projections to differ materially from those presented in the document.
The information in this document is for presentational purposes only and is not an inducement to invest in securities issued by JAIC.
The figures in this document are based on consolidated financial statements prepared in accordance with the previous accounting standards.

https://www.jaic-vc.co.jp-1-

Contents

1 SummaryP3

2 Results for 1Q FY2021

P4

3 Result forecasts for FY2021

P9

4 Business report

P11

5 Appendix

P16

Note: The figures in this document are based on consolidated financial statements
prepared in accordance with the previous accounting standards.
https://www.jaic-vc.co.jp-2-

1. Summary
 Results for 1Q FY2021• Operating revenue of ¥282 million (up, 43.6% year on year) and deficit of ¥241 million (increased¥98 million year on year).
• Revenues increased due to profits from mega solar projects and profit contributions from third-party
funds.
• On the other hand, the deficit increased due to the impact of loss-making third-party funds.
 Result forecasts for FY2021• The result forecast for the first half has been revised downward. A loss from a third-party fund, which
was expected in the second half, was incurred in the first quarter and at a greater amount than
expected, and some sales of shares were delayed to the second half.
• There are no changes to full-year forecasts. The loss incurred in in the first quarter from a third-party
fund is expected to be compensated with an increase in gain on sale of shares in the second half.
• Deficit is expected until the third quarter. Gains from sales of securities are anticipated for the fourth
quarter and full-year results are expected to be in the black.
 Business report• Impacts of COVID-19 and natural disasters are limited at present.
• Globalization support fund for SMEs in Hokkai-do was newly established.
• 4 mega solar power plants newly started electricity sales.
https://www.jaic-vc.co.jp-3-

2. Results for 1Q FY2021

Outline of results

P5

Break down of operating revenue & operating cost

P8

https://www.jaic-vc.co.jp-4-

2. Results for 1Q FY2021 - Outline of results - I/S(million yen)

FY 2020 (1Q)
AmountFY 2021 (1Q)
AmountChange43.6%

Operating revenue

196

282

Operating cost59

270 355.6%

Operating gross profit136

11 (91.8%)

SG&A expenses

255

257

0.6%

Operating income

(118)

(246)

-

Ordinary income

(146)

(246)

-

(142)

(241)

-

Profit attributable to ownersof parentFactors for increase in revenue:• An increase in profits from mega solar projects• An increase in profit contribution from private equity funds operated by other companies (third-party funds)
Factors for decrease in profit:• A 105 million-yen loss from a loss-making third-party fund, after offsetting with profit contributions from otherthird-party funds• Upfront costs for a smart-agri project (vegetable plant)

https://www.jaic-vc.co.jp-5-2. Results for 1Q FY2021 - Outline of results - B/S
As of Mar 2020

Total assets

FY 2021 (1Q)

AmountAmount(million yen)(million yen)

15,80014,877

Changefluctuation factors(billion yen)

(5.8%)
repayments of loan (0.5),

3,920

2,914 (25.7%) execution of investments &

5,437

5,789

6.5%

1,005

1,005

0.0%

4,282

4,024

(6.0%)（c） Loans payable

8,166

7,653

(6.3%) repayments of loan (0.5)

Total shareholders' equity

7,223

6,928

(4.1%) loss for 1Q (0.24)(a) + (b) - （c）

1,191

1,050 (11.8%)(a) Cash and deposits(b) Project oriented investment securities &loans
Strategic investment securities in partnercompanies
Private equity investment securities after
deducting allowance for possible investment loss
except strategic investment in partner companies

loans (0.3)

execution of investments &loans 0.3

loss from funds managed bythird parties (0.2)

 Cash and deposits :The balance decreased due to the repayment of borrowings and execution of investments & loans
 Project oriented investment: The balance increased due to execution of investment & loan
 Financial balance(*) : Although the balance decreased, a certain level was secured.
(*Note: Financial balance = Cash & deposits + project oriented investment – loans payable)
https://www.jaic-vc.co.jp-6-

2. Results for 1Q FY2021 - Outline of results - C/F(JPY million)

FY 2020 (1Q)

FY 2021 (1Q)

Operating CF

(187)

28

Investing CF

43

39

Financing CF

(896)

(513)

(1,034)

(449)

3,048

2,274

Change in Net CF
Cash & cash equivalents at endof period Operating CF: Net cash provided was 28 million yen
Dividends from investment funds increased year on year
 Investing CF: Net cash provided was 39 million yen
Net cash was provided mainly from proceeds from redemption of investment fund
 Financing CF: Net cash used was 513 million yen
The extent of negative cash flow improved year on year due to the reduction of the repayment amount
While new investment funds and ordinary payments have been covered by the return on investment, cash
on-hand has been used for the repayment of borrowings.
https://www.jaic-vc.co.jp-7-

2. Results for 1Q FY2021 - Break down of operating revenue & operating cost
Total
（JPY million）

FY 2020(1Q)Private equity investment
FY 2021(1Q)

FY 2020(1Q)

Project oriented investment

FY 2021(1Q)

FY 2020(1Q)

FY 2021(1Q)

196

282

157

200

38

81

Fund management fees etc.

55

45

54

43

0

1

Proceeds of sales of securities

90

73

90

73

-

0

Fund interests income etc.

40

150

8

79

32

71

Other operating reveue

10

12

4

3

5

8

59

270

59

227

-

43

50

19

50

19

-

0

5

0

5

0

-

-

Fund interests losses etc.

1

249

1

206

-

43

Other operating costs

1

1

1

1

-

-

136

11

98

(27)

38

38

Operating revenue

Operating cost
Cost of securities soldInvestment write-offs and Provision forallowance for possible investment losses

Operating gross profitPrivate equity investment; Revenues increased but operating gross profit was in the red.
•Of operating revenue, fund interests income etc. increased due to capital gain from investment funds managedby other companies.
•
Of operating cost, fund interests losses etc. increased due to loss from investment funds managed by othercompanies. Expected recovery amount of investments of these funds dropped.

Project oriented investment; Revenues increased and operating gross profit remained at the same level.
•
Of operating revenues, fund interests income etc. increased due to profits from mega solar projects.
•
Of operating cost, fund interests losses etc. increased due to advance expenditure for the vegetable plant.

https://www.jaic-vc.co.jp-8-

3. Result forecasts for FY2021- Cautionary statements

 The private equity investment business conducted by the Groupwill be significantly affected by changing factors such as stock
markets, given the characteristics of the business. In addition, it
has been difficult to forecast results reasonably in the rapidlychanging environment.
 For the convenience of investors and shareholders, however, we
disclose “result forecast consolidated under the Previous
Accounting Standard” even though it doesnʼt have enoughrationality.
 The “result forecast consolidated under the Previous AccountingStandard” and any other forward-looking statements in thisdocument are based upon the information currently available to
JAIC and certain assumptions. The achievement is notpromised. Various factors could cause actual results to differ
materially from these result forecasts.
https://www.jaic-vc.co.jp-9-

3. Result forecasts for FY2021- Breakdown of result forecast(million yen)

Actual
FY 2021 (1Q)
AmountResult forcast

1st Half of FY2021

1st Half of FY2021

FY. 2021(Disclosed on May 2020)(Revised in Aug. 2020)(No revision)

AmountAmountChangeAmountProgression
ratio

282

850

670

(21.2%)

3,250

8.7%

Operating cost

270

380

490

28.9%

1,800

15.0%

Operating gross profit

11

470

180

(61.7%)

1,450

0.8%

SG&A expenses

257

590

570

(3.4%)

1,100

23.4%

Operating income

(246)

(120)

(390)

-

350

-

Ordinary income

(246)

(190)

(420)

-

200

-

(241)

(210)

(440)

-

180

-

owners of parentResult forcast

Operating revenue

Profit attributable to

Result forcast

First half forecasts: Downward revision
A loss from a third-party fund, which was expected in the second half, was incurred in the first quarter at a greater
amount than had been expected, and some sales of shares were delayed to the second half.
Full-year forecasts: No change
The loss from a third-party fund that was incurred in the first quarter in excess of the initially expected amount is
expected to be compensated with an increase in gain on sale of shares in the second half.
Deficit is expected until the third quarter.
Gains from sale of securities are anticipated for 4Q due to IPOs in Japan and trade sales in China.
Sale of projects is not planned at this stage.

https://www.jaic-vc.co.jp- 10 -

4. Business report

Fund newly established

P12

Investment execution

P13

Projects started electricity sales

P14

Renewable energy projects as of June 30, 2020P15

https://www.jaic-vc.co.jp- 11 -

4. Business report - Fund newly established

Hokkaido SME Global Fund, L.P.
～Globalization Support Fund for Regional SMEs～
General Partner

Japan Asia Investment Co., Ltd. (JAIC), Asian Market Planning Co.,
Ltd. (AMP, one of partner companies of JAIC)

Limited Partner

Regional financial institution

Total commitment amount

151million yen

Investment target

SMEs located or with business bases in Hokkaido that operate or aim
to operate in oversea market and that promote business to meetinbound demand

Date of establishment

April 1, 2020
Hokkaido SME Global Fund, L.P.
Total commitment amount︓¥151 million
Fund life︓about ７ years

Invest in companies that aim tooperate in oversea market and that
promote business to meetinbound demand

Manage /Invest

JAIC(General Partner）

Unlisted SMEs located or withbusiness bases in Hokkaido

AMP

Support(General Partner)

Redemptions of preferred stock/Dividends/
Trade sales/IPOs
Recovery of investment funds
https://www.jaic-vc.co.jp- 12 -

4. Business report - Investment execution

Investment execution : 4 cases, ¥ 0.46 billion
Renewable energy
Additional investment in 1 mega solar project with a ¥30-level FIT
price
Renewable energy
Additional investment in a food recycle company that generates
biogas for power generation

Smart agriculture
Additional investment of the vegetable plant’s operation funds

Private equity investment
1 investment execution
In addition to investments listed above, loans were provided to 3 projects on group home for handicapped people.
https://www.jaic-vc.co.jp- 13 -

4. Business report - Projects started electricity sales
Akkeshi Luke Supor Solar Power Plant

Location

Hokkai-do Akkeshi-gun

Maximum output

2.3MW (*1)

Expected annual power
generation

2,574MWh (*2)

Start of electricity sales

May 2020

Feed-in tariff¥40/kWh (ex. tax)

*1:Solar cell panel system capacity basis (the same applies below)*2:Equivalent to annual power consumption of approx. 530 average
households(converted at 4,825kWh per annum based on the Photovoltaic Power
Generation Association “Disclosure Guidelines (FY2019)“, the same
applies below)

Fukuoka Prefecture, Ukiha City, Solar Sharing（Farm-type solar power plant）

Map provided ”Craft MAP”

Name of solar powerplant

Ukiha-shi, Shirakabe Solar
Power Plant
Ukiha-shi, Mizunosato Solar
Power Plant
Ukiha-shi, Minou Alps Solar
Power Plant

Maximum output

3.0MW in total

Expected annual power
generation

3,341MWh (*) in total

Start of electricity sales

from Mar. to May 2020

Feed-in tariff¥36/kWh (ex. tax)

*Equivalent to annual power consumption of approx. 690
average households

Moss Yamagata, farmer of this farm-typesolar power plant, cultivates moss as
greening material under the solar panels.
https://www.jaic-vc.co.jp- 14 -

4. Business report - Renewable energy projects as of June 30, 2020

Mega solar projects
Started electricity sales 16 projects (18 power plants)
Under construction or under planning
7 projects
Total
23 projects (25 power plants)
attributable to JAIC

53.2 MW44.4 MW
97.6 MW45.3MW

Transfers to buyers other than the funds operated by the JAIC Group

23 projects

122.0 MW

*Underlined projects are invested from
JAIC Solar Fund L.P., Ⅱ

Aomori, Bio gas,
1project 0.03MW
Iwate, Solar,
1 project 2.4MW
2 projects 5.3MW
Miyagi, Solar,
1 project 2.4MW

Fukuoka, Solar
1 project, 3
power plants
3.0MW in total

Kumamoto, Solar
1 project 3.1MW
1project 11.8MW

Hokkaido, Solar,
4 projects 24.4MW

Fukushima, Solar,
2 projects 3.9MW
1 project 2.4MW
Tokyo, Bio gas,
1project 1.6MW
Kagawa, Solar Mie,
4 projects 8.7MW Woody biomass, 1 project 2.0MW
Mega solar,
1 project 21.8MW
Wind power,
1 project at most 25.2MW

Tochigi, Solar,
3 projects 6.0MW
Kanagawa, Solar,
1 project 2.4MW* Since our investment ratio differs in each project, the amount of JAIC’s investment or revenues from mega solar projects that are attributable to JAIC are notnecessarily linked to the MW figure of the project.
https://www.jaic-vc.co.jp- 15 -

5. Appendix

List of project oriented investments

P17

Break down of private equity investment balance

P19

AUM of Funds, Investment balance & balance of operational
investment securities

P20

Funds & investment activities

P21

Business results & financial position

P22

Break down of operating revenue & operating cost

P23

Business field

P24

Core competence

P25

Profit structure

P26

Company data

P28

https://www.jaic-vc.co.jp- 16 -

5. Appendix - List of project oriented investments (as of June 2020)
Type ofproject
Solar

No.

Name of power plant or Location

Generation
Capacity [MW]Current status

FIT[tax excluded, ¥]Total amount ofproject [¥ bn.]1

Nishiki-cho, Kuma-gun, Kumamoto(*)

3.1

Started electricity sales in Dec. 201540

approx. 1.05

2

Nomaike solar power plant(*)

2.4

Started electricity sales in May. 201736

approx. 0.8

3

Fukushima Inawashiro solar power plant

1.2

Started electricity sales in Sep. 201736

approx. 0.34

4Mitakabeike solar power plant(*)

1.5

Started electricity sales in Sep. 201732

approx. 0.5

5Iwate Ichinoseki solar park(*)

2.4

Started electricity sales in Jan. 201836

approx. 0.8

6

Obihiro solar park

4.4

Started electricity sales in Mar. 201840

approx. 2.2

7

Nakaoudaike solar power plant(*)

2.4

Started electricity sales in Apr. 201836

approx. 0.86

8

Ichinoseki-shi Yoshitaka solar power plant

2.6

Started electricity sales in Jun. 2018

36

－

9

Higashioudaike solar power plant(*)

2.4

Started electricity sales in Jul. 201836

approx. 0.86

10

Ichinosekishi Suzugasawa solar power plant

2.7

Started electricity sales in Oct.. 2018

36

－

11

Kami solar park

2.4

Started electricity sales in Oct. 201836

approx. 0.96

12

Mombetsu-shi Kodo solar power plant

15.7

Started electricity sales in Feb. 202040

approx. 6.6

13

Yokotsunooka solar power plant

2.0

Started electricity sales in Mar. 2020

36

－

14

Mie

21.8

Under construction or Under planning

24

－

15

Fukushima

2.4

Under construction or Under planning

32

－

16

Hirono solar park

2.7

Started electricity sales in Feb. 2020

40

－

17

Kumamoto

11.8

Under construction or Under planning

38

－

18

Akkeshi Luke Supor Solar Power Plant

2.3

Started electricity sales in May 2020

40

－

19

Kanagawa

2.4

Under construction or Under planning

32

－

20

Ukiha-shi, Shirakabe Solar Power Plant
Ukiha-shi, Mizunosato Solar Power Plant
Ukiha-shi, Minou Alps Solar Power Plant

Started electricity sales in Mar.-May 2020

36

－

21

Tochigi

2.0

Under construction or Under planning

36

－

22

Tochigi

2.0

Under construction or Under planning

32

－

23

Tochigi

2.0

Under construction or Under planning32－

3.0 in total

Total 97.6MW [attributable to JAIC 45.3MW]

https://www.jaic-vc.co.jp- 17 -

5. Appendix - List of project oriented investments (as of June 2020)
Type of project

No.

Woody biomass
Bio gas1

2

Location

Generation Capacity[MW]

Current status

FIT[tax excluded, ¥]Total amount of project [¥bn.]Matsusaka-shi, Mie

2.0Started electricity sales in Jan. 2018

－

－

Tokyo

1.6

Preparing to start operation

39－

Food recycle company that generates
biogas for power generation

－

－

0.03

Started electricity sales in Nov. 201839－

At most 25.2

Under construction or Under planning

22－

Aomori Touhokumachi solar power plant

Wind power

Mie

Vegetable plant

Tambasasayama-shi, Hyogo－

Started operation in Mar. 2019－

Approx. 0.7

1

Hamamatsu-shi, Shizuoka－

Preparing to start operation

－

－

2

Utsunomiya-shi, Tochigi－

Under construction

－

－

3

Hiroshima-shi, Hiroshima－

Preparing to start operation

－

－

Aichi

－

Opened*investment in building which has alreadystarted operation

－

－

1

Koshigaya-shi, Saitama－

Under planning

－

－

2

Atsugi-shi, Kanagawa－

Under planning－－Group home

Commercial
building
Logistics
warehouse*Projects that are invested from JAIC Solar Fund L.P., Ⅱ

https://www.jaic-vc.co.jp- 18 -

5. Appendix - Break down of private equity investment balance

Investment balance : 97 companies, ¥8.6 bn.
【Breakdown by area】【Breakdown by industry】
Others;13co.

China,HK,
Taiwan&1.8bn.
Service;
Japan;
Total
14co.
52co.
1.0bn. 97 companies

Total
97 companies
4.0bn. Precision
4.6bn. ¥8.6bn.

others ;
45co.

QOL;
24co.
3.1bn.

machine;6co.

¥8.6 bn.
0.7bn.
1.8bn.IT;
40co.

Average investment amount per company (unit: ¥ million):
Japan 76, China,HK&Taiwan etc. 101 / QOL 130, IT 46
https://www.jaic-vc.co.jp- 19 -

5. Appendix - AUM of Funds, Investment balance & balance of operational
investment securities

Investment by fuds
5.9

AUM of funds¥16.5 bn.

6.7

3.1

0.8

Investment balance¥15.5 bn.

Principal investment
by JAIC 9.6

1.6

Other
investors'
interests in
funds
4.2
Other than consolidated projects
Consolidated projects

Balance of
operational investment securities(previous accounting standard)

6.5

3.2 ※

¥9.8 bn.

https://www.jaic-vc.co.jp

JAIC's interests in funds
Others¥11.8 bn.
Balance of
operational investment securities(fund consolidated
accounting standard)

1.6 0.5

Cash etc. in Funds
Accumulated profits, losses & distributions
6.5

1.6 1.1 0.6

Note: Uncalled commitments to Funds
Of the principal investment by JAIC, the investment portion in aconsolidated project is deemed investment in a subsidiary under
the fund consolidated accounting standards, and the investment isoffset.
On the other hand, renewable energy power generation andvegetable plant facilities held by consolidated projects are booked
as property, plant and equipment under the fund consolidated
accounting standard.

- 20 -

5. Appendix - Funds & investment activities(JPY million)

16/3

17/3

18/3

19/3

20/3

20/3(1Q)

21/3(1Q)

New & increased funds

5,201

500

1,000

2,000

1,359

-

151

AUM of funds - total

39,33528,753

19,15016,494

17,39016,150

16,480

AUM of funds - JAIC

14,004

9,427

5,867

5,344

5,163

5,216

4,887

New investnemts (Total)

4,093

4,315

3,887

3,749

3,374

1,144

464

Balance of investments (Total)

18,783

16,55813,981

13,951

15,101

14,95015,512

New investnemts (private equity)

1,304

1,131

1,205

136

1,224

764

184

Balance of investments (private Equity)

15,061

11,981

10,398

8,437

8,405

9,026

8,560

New investnemts (project oriented investment)

2,788

3,184

2,681

3,612

2,150

380

280

Balance of investments (project oriented investment)

3,722

4,576

3,582

5,514

6,696

5,923

6,951

https://www.jaic-vc.co.jp- 21 -

5. Appendix - Business results, financial position (Previous accounting standards)(JPY million)

16/3

17/3

18/3

19/3

20/3

20/3(1Q)

21/3(1Q)

Business results
Operating revenues

4,043

3,926

5,403

2,475

2,760

196

282

Operating gross profit

1,554

2,176

2,328

1,286

1,359

136

11

SG&A expenses

1,472

1,339

1,311

1,109

1,094

255

257

Operating income

82

836

1,017

177

265

(118)

(246)

Ordinary income

612

726

954

83

140

(146)

(246)

Net income

597

553

874

578

302

(142)

(241)

8,202

6,213

7,308

5,564

3,920

3,724

2,914

3,722

4,081

3,582

5,514

5,437

5,923

5,789

100

100

373

373

1,005

685

1,005

8,126

7,256

5,657

4,765

4,282

4,677

4,024

16,91014,128

11,954

9,784

8,166

8,887

7,653

Total shareholders' equity

4,976

5,686

6,545

6,840

7,223

6,615

6,928

Total assets

22,68020,305

19,22017,30515,80016,02914,877

Financial position
Cash and deposits
Operational investment securities and operatingloans of project oriented investment
Operational investment securities of strategic
investment in partner companies
Operational investment securities after
deducting allowance for possible investment loss
(Private equity except strategic investment in
partner companies)
Loans payable, bonds & bonds with subscription
rights to shares

https://www.jaic-vc.co.jp- 22 -

5. Appendix - Statement of Income - break down (Previous accounting standard)(JPY:million)

16/3

17/3

18/3

19/3

20/3

20/3(1Q)

21/3(1Q)

Change(%)

１． Fund management operation
Fund management fees and others

441

364

277

241

199

55

45

(17.5%)

Success Fees

288

101

86

-

-

-

-

-

Operating revenue

729

466

364

241

199

55

45

(17.5%)

-

-

-

-

-

-

-

-

729

466

364

241

199

55

45

(17.5%)

2,954

2,275

3,219

1,746

2,349

90

73

(18.9%)

345

1,159

1,677

429

172

40

150

271.9%

3,300

3,434

4,897

2,176

2,521

130

223

71.1%

1,863

1,423

2,469

554

965

50

19

(62.2%)

569

274

562

579

245

5

0

(86.6%)

47

46

36

49

184

1

249

12876.0%

2,481

1,744

3,069

1,182

1,395

58

269

362.6%

818

1,690

1,827

993

1,125

72

(45)

-

Operating revenue

13

25

142

57

40

10

12

24.4%

Operating cost

7

6

5

6

5

1

1

37.6%

Operating gross profit

5

19

136

51

34

8

10

22.5%

Operating revenues

4,043

3,926

5,403

2,475

2,760

196

282

43.6%

Operating cost

2,488

1,750

3,074

1,188

1,401

59

270

355.6%

Operating gross profit

1,554

2,176

2,328

1,286

1,359

136

11

(91.8%)

Operating cost
Operating gross profit
２． Investment operation
Proceeds of sales of securities (A)Fund interests income etc.
Operating revenue
Cost of securities sold (B)Investment write-oﬀs and Provision for allowancefor possible investment losses ( C)Fund interests losses etc.
Operating cost
Operating gross profit
３． Others

Total

https://www.jaic-vc.co.jp- 23 -

5. Appendix - Business field

Private equity investment

Strategic investment

Project investment

JAIC provides growth capital in venturecompanies and small and medium sizedenterprise (“SME”) with high growth potential,
as well as to SMEs with succession problem.
After the investment, JAIC is committed toprovide various support to achieve growthstrategies of the company by utilizing
JAIC’s resources in Japan and elsewhere in
Asia.

Strategic investment in partnercompanies that correspond toselected themes of JAIC.
JAIC provides “hands-on” support topartner companies to improve its
business promotion and financing
activities, etc.

JAIC has been investing to renewable energy
industries represented by solar energy as well as tohealthcare industry such as nursing facilities andfacilities for persons with disabilities. In addition to
above, JAIC
is determined to invest to new areas such as smartagri business represented by vegetable plant andlogistic industry such as distribution center where
JAIC’s accumulated expertise can be leveraged.

https://www.jaic-vc.co.jp- 24 -

5. Appendix - Core competence
Historical background in Asian
regionCapability to capture up-to-datebusiness information
Through the activity of exploringpromising companies and investment
opportunities, JAIC has capability tocapture highly professional and cuttingedge information on various corporates.

Since its establishment in 1981 by the Japan
Association of Corporate Executives (Keizai
Doyukai), JAIC has contributed to economic
exchange between Japan and Asian
countries over 35 years which led to highname recognition.

Expertise to structure sophisticatedfinance scheme
Wide range of network with venture companies
JAIC has track record of leading more than 300 invested venturecompanies to “Going Public”. Through the long time investment
activities, JAIC enjoys close relationship with wide range ofventure companies. Based on this intangible asset, JAIC is
utilizing the network to create value for invested companies
through business matching and cultivating new business theme
for JAIC’s own.
https://www.jaic-vc.co.jp

JAIC’s accumulated invested volume insideand outside of Japan is Japanese Yen 330
billion.
For the project oriented investment, in
addition to providing direct equity investment,
JAIC has been arranging various financing
scheme utilizing project-finance approachand leverage financing together with financial
institutions.
- 25 -

5. Appendix - Profit structure● Private equity investment

There are the following two types of investment
capital:・Contribution from JAIC’s cash reserves
・Capital that is entrusted for investment byfund investors in Japan and abroad throughthe fundJAIC also invests in the fund and acquires
capital gains according to its investment ratio.

● Renewable energy project investment

The power generation operator procures funds
for the construction of power plants by thefollowing two ways and owns the power plants:
・Investment by JAIC and other investors
・Loans from financial institutions
The generated power is purchased by powercompanies at FIT.
JAIC and other investors obtain stable revenue
from electricity sales according to theirinvestment ratios.

https://www.jaic-vc.co.jp- 26 -

5. Appendix - Profit structure● Fund management
In fund management, there are thefollowing two types of fees:
・Management fee received ascompensation for recurring
management and operation
・Success fees received according to thefund’s performancehttps://www.jaic-vc.co.jp- 27 -

5. Appendix - Company data (as of June 30, 2020)
Company name

Japan Asia Investment Co., Ltd.

Head office

3-11 Kandanishiki-cho, Chiyoda-ku, Tokyo 101-8570, Japan

Established

July 10, 1981

Paid-in capital

5,426 million yen

Listed market

Tokyo Stock Exchange, 1st Section (Securities code 8518)

Employees

37 (Consolidated) /20 (Non-consolidated)

Main businessPrivate equity investment / Project oriented investment

Directors

Chairman of the Board :Yoshiaki Kawamata [Outside/Independent]
President & CEO:Tetsuro Shimomura
In charge of New Energy Investment Group:Masafumi Hatta
Chairman of Audit & Supervisory Committee:Kazunori Omori
Member of Audit & Supervisory Committee:Hitoshi Yasukawa [Outside/Independent]:Tadashi Nunami[Outside/Independent]:Harumi Katagiri[Outside/Independent]

https://www.jaic-vc.co.jp

Abbreviation; JAIC

- 28 -

JAIC
Japan Asia Investment Co., Ltd.
Seiko-Takebashi-Kyodo Bldg., 3-11 Kandanishiki-cho, Chiyoda-ku, Tokyo 101-8570
TEL +81-3-3259-8518 Fax +81-3-3259-8511

https://www.jaic-vc.co.jp/
Contact to:
Kenji Kishimoto, Executive Officer
Miyuki Maruyama, Administration GroupIR e-mail : ir@jaic-vc.co.jp

The contents of this document are based on materials available at the time of its compilation and no guarantee can be made as to the continued
accuracy and reliability of the material. The contents may be changed without prior notice. Risks and uncertainties including changes to economic
circumstances may cause results and projections to differ materially from those presented in the document.
The information in this document is for presentational purposes only and is not an inducement to invest in securities issued by JAIC.
The figures in this document is based on consolidated financial statements.
https://www.jaic-vc.co.jp- 29 -