Capital and business alliance with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION to strengthen equity and pursue collaboration

「Our policy is to develop businesses by leveraging group assets, including media such as television and radio, through the capital and business alliance with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥1,224.543 million at the end of the third quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥1,577.995 million at the end of the first quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥1,421.998 million at the end of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥1,511.120 million at the end of the third quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥2,197.707 million at the end of the third quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥2,625.100 million at the end of the first quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that, through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment under the agreement in May 2019, we held cash and deposits of ¥3,656.914 million at the end of the first quarter of the current consolidated fiscal year and had secured the necessary funds.」

「We have determined that the necessary funds have been secured through the strengthening of equity capital and other measures resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment in May 2019.」

「Although conditions exist that raise significant doubt about the going-concern assumption due to continuing negative operating cash flow, we have determined that the necessary funds have been secured through the strengthening of equity capital resulting from entering into a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and issuing new shares through a third-party allotment, among other measures.」

「The strengthening of equity capital was completed through the execution of a capital and business alliance agreement with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and the issuance of new shares through a third-party allotment.」

「On 29 May 2019, we issued new shares through a third-party allotment and allotted 22,000,000 shares of our common stock to ASAHI BROADCASTING GROUP HOLDINGS CORPORATION. This completed the strengthening of our equity capital.」

「At a meeting of our Board of Directors held on 10 May 2019, we resolved to enter into an agreement on a capital and business alliance with ASAHI BROADCASTING GROUP HOLDINGS CORPORATION and to issue new shares to it through a third-party allotment. We will allot 22,000,000 shares of our common stock (220,000 voting rights, representing 51.97% of the total voting rights at the time payment for this third-party allotment is made). The funds raised through this third-party allotment are予定 to be allocated as follows: ¥1,300 million for business development using intellectual property held by the Asahi Broadcasting Group, ¥1,152 million for IP development, ¥200 million for establishing internal control systems, and ¥100 million for repaying borrowings.」