Notice Regarding Establishment of Investment Corporation by Subsidiary (Tosei Asset Advisors, Inc.)

[Translation]

To whom it may concern

September 3, 2014

Tosei Corporation
Toranomon Tosei Building, 4-2-3 Toranomon, Minato-ku, Tokyo
President and CEO: Seiichiro Yamaguchi
Securities code: 8923 (Tokyo Stock Exchange, First Section)
S2D (Singapore Exchange, Mainboard)
Contact: Director and CFO: Noboru Hirano
TEL: +81-3-3435-2864

Notice Regarding Establishment of Investment Corporation
by Subsidiary (Tosei Asset Advisors, Inc.)

Tosei Corporation hereby announces that Tosei Asset Advisors, Inc. (the "Subsidiary"), a wholly-owned subsidiary of Tosei Corporation, has resolved to establish an investment corporation with the Subsidiary as the organizer.

  1. 1.Background for Establishment of Investment Corporation

    Up until now, the Subsidiary has been engaged in business mainly comprised of the operations of investment management business" and investment advisory and agency business," which are operations requiring registration under the Financial Instruments and Exchange Act, among asset management operations concerning real estate investment funds.

    Now, aiming to further develop and expand the Subsidiary’s operations in line with the Tosei Group’s growth strategies, the Subsidiary, with intention to add a business to existing businesses, has obtained approval from the Prime Minister of Japan on the 2nd of September to carry out specified investment management activities" involving the asset management of a real estate investment corporation, which are activities requiring approval under the Financial Instruments and Exchange Act. In response, the Subsidiary decided today to carry out the various procedures necessary to establish and register Tosei REIT Investment Corporation." After the registration of Tosei REIT Investment Corporation" has been completed, the Subsidiary will commence preparations to list its investment units on the Tokyo Stock Exchange.

  2. 2.Outline of the Subsidiary as Asset Management Company
    Trade name Tosei Asset Advisors, Inc.
    Address of head office 4-2-3 Toranomon, Minato-ku, Tokyo
    Date of establishment September 28, 2005
    Representative Chairman & CEO Hiroshi Nakamura
    Fields of business Investment management business
    Investment advisory and agency business
    Type 2 financial instruments business
  3. 3.Outline of the Investment Corporation（Scheduled）
    Trade name Tosei REIT Investment Corporation
    Address of head office 4-2-3 Toranomon, Minato-ku, Tokyo
    Date of establishment (Scheduled) September 4, 2014
    Representative Executive Officer Hisaaki Kuroyama

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