スパークス・グループ（8739） – Issuing the First Publicly Offered Digital Retail Bonds Under a Framework from Japanese Corporations

The following is an English excerpt of the official Japanese announcement, which has been given to the Tokyo Stock Exchange and the media in Tokyo, Japan. For Immediate Release May 31, 2022 SPARX Group Co., Ltd. LINE Securities Corporation Nomura Securities Co., Ltd. Issuing the First Publicly Offered Digital Retail Bonds Under a Framework from Japanese Corporations TOKYO—May 31, 2022—SPARX Group Co., Ltd. (“SPARX”), in cooperation with LINE Securities Corporation (“LINE Securities”), BOOSTRY Co., Ltd. (“BOOSTRY”), and Nomura Securities Co., Ltd. (“Nomura Securities”), announces that it will issue digital retail bonds as a public offering (the “Digital Bonds”). This first offering under a framework from Japanese corporations will be available on BOOSTRY’s platform. 1. Background With the mission of “making the world wealthier, healthier, and happier (through our unique investments),” SPARX is committed to introducing to Japanese retail investors genuine investment opportunities developed through our relationships with the world’s most prestigious institutional investors. The firm encourages retail investors, especially the younger generation, to start medium- to long-term asset-building while time is on their side. To this end, SPARX planned to issue these Digital Bonds to inspire retail investors to start investing in corporate bonds and other relatively low-risk financial instruments, sparking future interest in investments. This project should also create an environment in which retail investors can access various financial products and expand more in the future. SPARX intends to develop the market by issuing these Digital LINE Securities’ clients consist mainly of young adults. It hopes to further expand its client base by offering investment opportunities with digital bonds, allowing investments to be completed through the LINE platform and in smaller amounts than retail corporate bonds. By offering security tokens leveraging digital, Nomura Securities intends to expand its investor base in collaboration with its group companies and business partners, including LINE Securities and BOOSTRY. 2. Features of the Digital Bonds These are the first publicly offered digital retail bonds from Japanese corporations. Under this framework, Nomura Securities will underwrite the Digital Bonds while LINE Securities will distribute them. Using BOOSTRY’s advanced technologies and Nomura Securities’ expertise in financial technology, the Bonds. framework will promote advanced financial products in smaller investment units optimized for LINE Securities’ clients. Moreover, unlike conventional corporate bonds, the Digital Bonds can reach investors through LINE Securities. Through this connection to a new investor demographic, SPARX is considering posting regular news and videos to inform investors about how companies use the capital from these Digital Bonds and share about SPARX’s investment philosophy. This approach of issuing small-lot digital bonds and communicating with investors through LINE Securities should convey the appeal of SPARX’s investment practices and, as a result, raise the firm’s name recognition. 3. Roles of each company in issuing the Digital Bonds Each company will take the following roles in the bond issue. Company name SPARX Primary roles ・ Planning the framework and marketing campaign ・ Conducting IR activities for the bondholders ・ Selling the Digital Bonds ・ Paying interest and handling redemptions ・ Providing financial advice, including for building the framework ・ Underwriting the Digital Bonds LINE Securities Nomura Securities SPARX Group Overview Company name: SPARX Group Co., Ltd. Address: Shinagawa Season Terrace, 1-2-70 Konan, Minato, Tokyo Representative: President and Group CEO Shuhei Abe Business activities: Securities & commodity futures trading Date of establishment: June 1988 LINE Securities Overview Company name: LINE Securities Corporation Tokyo Representative: President and Co-CEO Miyuki Masaki President and Co-CEO Yoshikazu Yonenaga Date of establishment: June 2018 Nomura Securities Overview Company name: Nomura Securities Co., Ltd. Address: 1-13-1 Nihonbashi, Chuo, Tokyo Representative: President Kentaro Okuda Business activities: Securities business Address: Sumitomo Realty & Development Osaki Garden Tower, 1-1-1 Nishishinagawa, Shinagawa, Business activities: Providing non-face-to-face securities brokerage services targeting asset builders Date of establishment: May 2001 Note: This document is a press release to provide general information with respect to issuance of the Digital Bonds, and it has not been prepared for the purpose of soliciting investments or other conduct of similar nature whether in Japan or overseas. No further entry