UMENOHANA Co., Ltd. announced a private placement of 2,000 Class A preferred stock at the price of ¥1,000,000 per stock for gross proceeds of ¥2,000,000,000 on June 22, 2021. The transaction will include participation from The Nishi-Nippon City Bank, Ltd. and DBJ Food and Beverage / Lodging Support Fund L.P. a fund managed by DBJ Regional Investment Co., Ltd. each will acquire 1,000 shares for ¥1,000,000,000 and will hold 50%. The transaction will happen through third party allotment. The transaction has been approved by the board of directors of the company and is subject to ordinary general meeting of shareholders scheduled to be held on July 27, 2021. The transaction is expected to close on July 30, 2021. The transaction expenses would be ¥50,000,000 which included issuance costs is expected to include financial advisory fees, attorney's fees, stock price calculation costs, registration license tax, and judicial scrivener costs and net proceeds would be ¥1,950,000,000.