Mitsui : Capital and business alliance with JPI in the real estate asset management business

Mitsui & Co., Ltd. ("Mitsui", Head Office: Tokyo, President and CEO: Kenichi Hori) and Japan Post Insurance Co., Ltd. ("JPI", Head Office: Tokyo, Director and President, CEO Representative Executive Officer: Tetsuya Senda) have entered into a shareholders agreement and a share subscription agreement to establish a new company to be owned by both companies for the purpose of collaboration in the real estate asset management business. The new company will be established by the end of September 2022.
To establish the new company, Mitsui will invest 51% of the outstanding shares of its asset management business subsidiary, Mitsui & Co., Realty Management Ltd. ("MBRM") to the new company (an intermediate holding company), and JPI plans to underwrite a third-party allocation of new shares of the new company. Mitsui and JPI will each hold 51% and 49% of the outstanding shares of the new company, respectively.

Mitsui has been expanding its real estate asset management business in Japan, including office buildings and logistics facilities, through its wholly-owned subsidiary Mitsui & Co. Asset Management Holdings Ltd. ("MAH") and its group companies. Through this alliance with JPI, MBRM will establish a private real estate fund to accept JPI's capital, aiming to achieve an asset size of several hundred billion yen in the future. The fund will focus on the themes of "Well-being improvement", "Regional and social development" and "Contribution to environmental protection", all of which are important to JPI.

Mitsui and JPI will use this alliance as an opportunity to actively discuss further collaboration strategies, including the joint establishment of new investment management companies that conduct ESG investments, and co-investments in existing investment management companies.

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