Palemo Holdings Co.,Ltd. signed a stock subscription agreement to issue 265 Class A Preferred Stock at a price of ¥1,000,000 for gross proceeds of ¥265,000,000 on March 29, 2022. The transaction will include participation from Kinki Chubu Koiki Fukko Shien Fund a fund managed by REVIC Capital Co., Ltd. and AGS Consulting Co., Ltd., Investment Arm. The investors will receive preferred dividend at 5.5% annually.

The transaction is expected to close on June 30, 2022. The transaction is subject to approval in shareholders scheduled to be held on May 12, 2022. The company will pay ¥5,000,000 as issuance costs in the transaction.