Fairfax I.S. PLC has raised £100 million for the Company through the issue of 100 million Ordinary Shares at 100 pence per Ordinary Share.
The investment objective of the Company is to provide Shareholders with stable income together with capital growth. The Company intends to invest (initially through a tokumei kumiai (TK) and subsequently through one or more tokutei mokuteki kaishas (TMKs)) in and hold Japanese residential property predominantly situated in major conurbations which offer attractive yields and the potential for capital growth. Up to 15 per cent. of the Gross Asset Value (calculated at the time of investment) may be invested in commercial property. Although it is not the intention that the TK Operator will seek actively to invest in commercial property, it may acquire properties which include elements of commercial property (for example shops situated on the ground floor of an apartment block). In addition, the TK Operator may acquire a portfolio of properties comprising a mixture of residential and commercial properties. In this event the TK Operator, subject to prevailing market conditions, will seek to sell any freestanding commercial properties.

The Companys Investment Advisor, KR Halifax Asset Management, will identify suitable properties for investment and will provide asset management services to the TK Operator and any TMK established as more fully described in the Admission Document. The Investment Advisor is a sister company of Colliers Halifax and is able to utilise certain resources, including staff, of Colliers Halifax until the Placing Proceeds are fully invested. Colliers Halifax was established in Japan in 1952 and has advised on real estate transactions valued in aggregate at over Yen400 billion. Colliers Halifax is a licensed real estate consultant in Japan and since 1988 has represented the Colliers International Group in Japan.

Listing Exchange: AIM

Listing Date: 13/10/2006

Funds Raised: £100m

Nominated Advisor: Ernst and Young LLP

Nominated Broker: Fairfax I.S. PLC