MAI Participated in Proof-of-Concept Fundraising Project Using Blockchain Technology
May. 1, 2020

Mitsui & Co. Alternative Investments Limited (“MAI”) participates in a next-generation "Digital Securities Project" (“Project D”), which focuses on issuing security tokens using blockchain technology.
Project D is led by Mitsui & Co. Digital Asset Management Co., Ltd. (“MDM”), with the cooperation of asset management subsidiaries of Mitsui & Co. Group*1, LayerX Co., Ltd. (“LayerX”) and Mirai Corporation (“Mirai”). In Project D, a proof-of-concept fund is launched that invests in real estate owned by Mirai. As a member of Mitsui & Co. group financial subsidiaries, MAI cooperates and collaborates in the proof-of-concept fund.

Overview of the proof-of-concept fund

The proof-of-concept fund*2 acquired a part of the trust beneficiary right of Rokko Island DC that is owned by Mirai, and is operating with about 700 million yen of managed assets. During the fund management period, Project D will utilize the already developed system and conduct verification tests focusing on the efficiency of dividends and transfers during the management period.
MDM and LayerX plans and develops the overall concept and security token issuance system, and Mitsui & Co. Realty Management Co., Ltd., which has a wealth of experience in private placement investment funds, is responsible for asset management. MAI involved in the private placement of the proof-of-concept fund which was invested in by Mitsui & Co., Ltd., and LayerX, and will also act as an intermediary in the transfer of the equity interest of the proof-of-concept fund.

MAI seeks to gain experience through cooperation with Project D, which will help to strengthen its core business of providing alternative financial products in order to offer more value to its customers.

About investment target Rokko Island DC

Outline of facility

Rokko Island DC is a specially-designed distribution hub built based on the close relationship between Mitsui & Co., Ltd., and a major restaurant chain. It is also an important industrial facility, offering infrastructure that is critical to approximately 600 stores in the Kansai region in smoothly running their daily business. It is a state-of-the-art DC (distribution center) that pursues optimal efficiency in logistics, with an automated multistory warehousing system and climate monitoring devices that can control three different temperature bands (frozen, chilled, and normal temperature).

About service area

Located in Rokko Island, where many food companies and logistics companies have offices, it can cover a wide area of western Japan, the core of which is the Keihanshin area.

About the tenant

The contracted company, HAVI Supply Chain, is a global supply chain company headquartered in Chicago, USA. It provides centralized logistics services for its customers, which are major restaurant chains.

Reference: a joint press release issued by MDM, Layer X, and Mirai 

*1 Asset management subsidiaries of Mitsui & Co., Ltd. (Mitsui & Co. Asset Management Holdings Co., Ltd.; Mitsui & Co. Realty Management Co., Ltd.; Mitsui & Co., Logistics Partners Ltd.; and Mitsui Bussan & Idera Partners Co., Ltd.).

*2 The proof-of-concept fund has ended its fundraising and is no longer accepting new investors.

 Mitsui & Co. Digital Asset Management Co., Ltd.

Date of Establishment: April 2020
President: Takashi Ueno
Business description: Asset management business of real assets, mainly real estate / infrastructure, with the use of blockchain technology

 LayerX Co., Ltd.

With the mission of "digitalizing all economic activities," LayerX is promoting the DX (Digital Transformation) of various industries, including the financial industry, with the use of blockchain technology. LayerX seeks to change the measurement of creditability and evaluation, and eliminate frictions in economic activities to make possible a society in which many companies and individuals can benefit from these transitions.

Date of Establishment: August 2018
President: Yoshinori Fukushima
Business description: Blockchain related business
Corporate website: https://layerx.co.jp/ja/

 Mirai Corporation

Date of Establishment: December 2015 (investment units listed on the Tokyo Stock Exchange in December 2016)
President: Michio Suganuma
Business description: Diversified Japan real estate investment trust whose assets, consisting mostly of offices, commercial facilities and hotels, are managed by Mitsui Bussan & Idera Partners Co., Ltd. Diversified Japan real estate investment trust whose assets, consisting mostly of offices, commercial facilities and hotels, are managed by Mitsui Bussan & Idera Partners Co., Ltd.
TSE Code: 3476 (the real estate investment trust market of the Tokyo Stock Exchange)

Disclaimer

This article is prepared for informational purposes only, and does not constitute an offer to sell or solicitation of an offer to buy any interest in the proof-of-concept fund.

The information in this article is current as of the date of publication.
Please note that the information described in this publication may change without prior notice.

For further information, please contact:
Masakazu Kobayashi or Shigeru Sasaki
Corporate Administration Department
+81-3-6361-0420