Investor Relations

Notification Regarding Change in Equity Method Affiliate (Transfer of Shares) and Booking of Extraordinary Income

Sansan, Inc. (“the Company”) announces that, as detailed below, it is expecting the booking of extraordinary income. This is in accordance with the decision taken today, to transfer all the shares held by the Company in EventHub, Inc. (hereinafter “EventHub”), an equity method affiliate of the Company. As a result of this share transfer, EventHub will be excluded from the Company’s equity-method affiliates.

1. Reason for the Transfer

Having invested in EventHub in 2019 for the purpose of growing business in the event tech service field, the Company had been promoting a variety of initiatives, such as creating opportunities for collaboration and acquiring know-how in this field. Having in the meantime decided to concentrate management resources on its Sansan sales DX solution and Bill One cloud-based invoice management solution going forward, as well as improve the efficiency of owned assets, the Company decided to carry out this share transfer.

2. Outline of the Equity Method Affiliate Transferred (As of September 30)

(1) Company name EventHub, Inc.
(2) Head office 5th Floor Grand First Kanda Konyacho Building, 15 Kanda Konyacho, Chiyoda-ku, Tokyo
(3) Representative (CEO) Rie Yoshigoe
(4) Description of business Development and operation of event management SaaS “EventHub”
(5) Capital 225 million yen
(6) Founded February 24, 2016

3. Outline of the Transfer

(1) Number of shares transferred 35,000 shares (Number of shares after transfer: 0 shares)
(2) Transfer price 546 million yen
(3) Schedule Date of decision on the transfer: November 1, 2022,
Date of the transfer agreement: November 1, 2022
Date of execution of the transfer: November 1, 2022

4. Outlook

As a result of this share transfer, in the second quarter of the fiscal year ending May 2023, the Company expects to book 427 million yen as extraordinary income from the gain on sale of shares of subsidiaries and associates.

For multi-step profit or loss under consolidated operating profit or loss in the fiscal year ending May 2023, the Company refrains from disclosing a concrete forecast because it is difficult to make a reasonable estimate of share-based payment expenses, which may vary significantly depending on the level of the Company’s stock price, and some non-operating profit or loss items.