RSBM Completes Equity Investment and Project Financing for 51MW Grid-Scale Battery Project in Hiji, Oita

RSBM Co., Ltd. (Headquarters: Minato-ku, Tokyo; a joint venture established by Sumitomo Mitsui Trust Bank, Limited and RS Asset Advisors Co., Ltd. to provide asset management for grid-scale battery businesses; hereinafter 'RSBM') is pleased to announce the completion of silent partnership (TK) investments from four domestic companies and project financing with Aozora Bank, Ltd. (Headquarters: Chiyoda-ku, Tokyo; hereinafter 'Aozora Bank') for G.K. Altair (the 'Project Company'). G.K. Altair is promoting the grid-scale battery business (Location: Hiji Town, Hayami District, Oita Prefecture; Rated Output: 51MW) for which RSBM serves as the asset manager.

1. Project Overview This project aims to develop and operate a grid-scale battery facility in Hiji Town, Oita Prefecture, contributing to the security of power supply-demand adjustment capacity and the stabilization of the power grid following the expanded introduction of renewable energy.

RSBM will handle asset management for this project, supporting overall business promotion and value enhancement.

2. Overview of Silent Partnership Investment and Financing The Project Company has accepted silent partnership investments from four leading domestic companies. This allows for the integration of knowledge and know-how across diverse business fields to strengthen competitive advantage.

Furthermore, project financing has been established with Aozora Bank acting as the arranger. This financing is a non-recourse loan using business cash flow as the repayment source, creating a funding scheme suitable for the characteristics of the project.

3. Significance of the Project In recent years, the importance of supply-demand adjustment capacity has increased with the expansion of renewable energy. Grid-scale batteries are expected to serve as vital infrastructure contributing to balancing power supply and demand, frequency adjustment, and smoothing output fluctuations from renewables.

This project aims to meet these social demands while creating new value in the electricity market.

4. Initiatives of the RSBM Group RSBM contributes to the realization of a sustainable society through its asset management services for large-scale battery projects. We will continue to collaborate with diverse partners both domestically and internationally, focusing on Kyushu as a key area to create investment opportunities and enhance value in the energy transition.

In the RS Holdings Group, which operates various assets including renewable energy plants and real estate nationwide, we utilize our fund functions, business foundations, and global networks. We aim to achieve 'Food Security,' 'Energy Security,' and 'Data Security' in Kyushu while building a future-oriented economic zone connecting with Asia through collaboration with overseas energy infrastructure funds.

[Project Summary] Facility Name: Oita Hiji Storage Plant Operating Entity: G.K. Altair Location: Hiji Town, Hayami District, Oita Prefecture Rated Output: 51MW Rated Capacity: 204MWh

[RSBM Profile] Company Name: RSBM Co., Ltd. Location: 6F Roppongi Hills Cross Point, 6-3-1 Roppongi, Minato-ku, Tokyo Representative: Kaname Wakabayashi Shareholders: RS Asset Advisors Co., Ltd., Sumitomo Mitsui Trust Bank, Limited Business: Asset management for large-scale battery storage

[Aozora Bank Profile] Company Name: Aozora Bank, Ltd. Representative: Hideto Omi, President and CEO Business: Banking services

[Sumitomo Mitsui Trust Bank Profile] Company Name: Sumitomo Mitsui Trust Bank, Limited Representative: Gakuho Yoneyama, President Business: Trust and banking services

[RS Asset Advisors Profile] Company Name: RS Asset Advisors Co., Ltd. Representative: Kyoya Okazawa, President Business: Arrangement and investment services for battery storage and renewable energy funds