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Overview of BeLot's Investment and Share Sale

BeLot Co., Ltd. (Headquartered in Minato City, Tokyo, CEO: Makoto Miyauchi, TSE Standard: 3452) has officially completed the sale of its preferred shares in SD Next, effective April 1, 2026. This transaction is notable as it reflects BeLot's continued strategy to explore corporate investments and M&A opportunities.

Sale Details

Transaction Summary

• - Sale Target: Shares of SD Next
• - Voting Rights Percentage: 25.0%
• - Investment Timing: December 2025
• - Investment Form: Preferred Shares (Type B)
• - Investment Amount: 500 million yen
• - Completion Date of Sale: April 1, 2026

Background of the Sale

BeLot's mid-term management plan emphasizes a challenge in the domain of corporate investment and M&A. The company seeks to leverage its expertise and networks in the real estate sector to foster new revenue opportunities. In December 2025, BeLot identified an investment opportunity in SD Next, a company operating a vending machine business with over 3,000 locations nationwide.

This investment involved rapid execution where BeLot conducted thorough due diligence in finance, business, and legal matters, promptly assessing investment value and risks prior to making a quick investment decision. By opting for the Type B preferred shares, BeLot managed to protect its invested capital and minimize downside risks while maintaining agility in investment decisions.

Following the investment, it was announced that Life Drink Company, a prime-listed firm on the Tokyo Stock Exchange, decided to completely acquire SD Next. This strategic development enabled BeLot to exercise its rights in the Type B shares, leading to a successful sale of its shares to Sukimade Department, the parent company of SD Next.

Assessing Investment Outcomes

The return on investment for this endeavor showed a remarkable 42% Internal Rate of Return (IRR), showcasing BeLot’s proficiency in corporate valuation and investment judgment honed through its previous M&A experiences. The company consistently executed swift and appropriate decision-making from opportunity identification to exit.

Future Endeavors

Leveraging the insights and successes from this transaction, BeLot is committed to continuing its proactive engagement in corporate investments and M&A initiatives. The firm intends to utilize flexible investment schemes, including preferred shares, balancing risks and returns effectively while driving efforts to obtain revenue opportunities and enhance corporate value.

Impact on Performance

The impact of this share sale on the consolidated results for the current accounting year is deemed minimal. BeLot remains focused on strategic investments, ensuring long-term growth and durability in its business operations.

In conclusion, BeLot's successful sale of its preferred shares in SD Next not only marks an important milestone but also sets the stage for future initiatives aimed at enhancing value and driving strategic growth.