We would like to inform you that we have raised approximately 900 million yen through third-party allotment and financing.

We will continue to strengthen our artificial intelligence products and organizational structure in order to realize a society that drastically improves white-collar productivity.

Cinnamon Co., Ltd., which has one of Japan's leading artificial intelligence (hereinafter referred to as "AI") document reading engines, is a fund managed by SBI Investment Co., Ltd., a fund managed by FFG Venture Business Partners Co., Ltd., ITOCHU Techno Solutions Co., Ltd., and Sony. Raised a total of approximately 900 million yen through a third-party allotment of capital to Sony Innovation Fund, the corporate venture capital of Sony Corporation, and TIS Corporation, as well as loans from Mizuho Bank, Ltd. and Sumitomo Mitsui Banking Corporation. We would like to inform you that we have carried out the following.

■Funding overview

Our company plans to raise a total of 1 billion yen through third-party allotment of capital for the Series B round. As the first close of Series B, we have conducted a third-party allotment of capital of approximately 800 million yen to the following investors. Additionally, we are proceeding with additional funding, with the final closing date scheduled for the end of August 2018.

In addition to the above-mentioned capital increase through third-party allotment, we have provided approximately 100 million yen in financing from the following financial institutions.

■Purpose of funding

With this funding, Cinnamon will strengthen its focus on the following points in order to realize a society that fundamentally improves white-collar productivity.

- Appointment of highly skilled human resources (especially highly specialized AI human resources overseas)

・By building a strong shareholder structure, we will improve Cinnamon's social credibility, strengthen our network, and accelerate growth.

・Strengthening the basic technology and user interface of AI products

・Strengthening the organizational structure to provide more advanced technology and detailed services (Japan and Vietnam)

・R&D investment in new area development of artificial intelligence products (speech recognition, etc.)

■List of underwriters

◯FinTech Business Innovation Investment Limited Partnership (Unlimited partnership member: SBI Investment Co., Ltd. (Head office: 1-6-1 Roppongi, Minato-ku, Tokyo, Representative Director: Katsuya Kawashima))

〇SBI Venture Investment Promotion Tax Investment Limited Partnership (Unlimited Partner: SBI Investment Co., Ltd. (Head Office: 1-6-1 Roppongi, Minato-ku, Tokyo, Representative Director: Katsuya Kawashima))

◯FFG Venture Investment Limited Partnership No. 1 (Unlimited partnership member: FFG Venture Business Partners Co., Ltd. (Head office: 1-8-3 Otemon, Chuo-ku, Fukuoka City, Fukuoka Prefecture, Representative Director: Satoshi Fukuda))

◯ITOCHU Techno Solutions Co., Ltd. (Head office: 3-2-5 Kasumigaseki, Chiyoda-ku, Tokyo, President and CEO: Satoshi Kikuchi)

◯Sony Innovation Fund

◯TIS Co., Ltd. (Head office: 8-17-1 Nishi-Shinjuku, Shinjuku-ku, Tokyo, President and CEO: Toru Kuwano)

■List of financing sources

◯Mizuho Bank, Ltd.

◯Sumitomo Mitsui Banking Corporation

■Comments from shareholders

FFG Venture Business Partners Co., Ltd.

“We highly value the organizational structure that allows us to employ AI engineers at a high level, which is the source of AI ventures’ competitive advantage, and the highly accurate AI products that are produced from this.In addition, in the financial industry, Cinnamon Co., Ltd. We believe that our highly technological AI products can be applied in a wide range of fields, including deposits, foreign exchange, and lending, and we look forward to fundamental business reforms in the financial industry."

ITOCHU TECHNO SOLUTIONS CORPORATION

"In the AI field, securing and training excellent AI engineers is an important factor, and Cinnamon is building a scheme to recruit and train a large number of excellent AI engineers not only in Japan but also in Vietnam. CTC has confirmed that Cinnamon's "Flax Scanner" is one of the top in Japan in the AI-OCR business field, through verification using the company's numerous awards in domestic and international contests, actual data, and on-site confirmation of its research and development base in Vietnam. We confirmed that the technology was reliable, and were confident that we would be able to provide stable service and further improve our technical capabilities. It is highly compatible with the RPA business promoted by CTC, and we look forward to working together to expand the business. ”

■Future outlook

Going forward, Cinnamon will build a further foundation as an AI platform with the theme of "improving white-collar productivity" and will work on developing various products that promote business improvement. We will also promote collaboration with partner companies and expand sales of packages that improve accuracy in response to customer-specific requests. In addition, we plan to actively expand overseas, not just in the Japanese domestic market.

[Cinnamon Co., Ltd. Company Profile]

Company name: Cinnamon Co., Ltd.

URL: https://www.cinnamon.is

Address: 6th floor, MTP Higashiazabu Building, 1-9-16 Higashiazabu, Minato-ku, Tokyo

Established: October 2016

Representative: Mirai Hirano, Representative Director and CEO

■Business content: Artificial intelligence product business, artificial intelligence consulting business

Cinnamon provides proprietary artificial intelligence engines centered on the AI OCR "Flax Scanner" that reads documents like a human, and has a track record of providing it to many major domestic companies. doing. We also have an artificial intelligence research institute in Vietnam and have succeeded in acquiring a large number of AI engineers.

Since introducing "Flax Scanner" in April 2017, we have had business negotiations with over 200 companies and have provided top-class technology in Japan in the AI OCR field.

In addition, through the artificial intelligence chatbot ``Scuro Bot'' and the recommendation engine ``Lapis Engine,'' we will respond to inquiries, set interview times, offer job offers at human resources companies, and contract rates for rental properties. We provide matching algorithms that enhance the

Furthermore, we recently pre-launched our specialized voice recognition technology "Rossa Voice" and have begun demonstration experiments.

■Overview of main product “Flax Scanner”

Most of the business documents used on a daily basis are unstructured and require human effort to incorporate into business systems, resulting in a lot of waste in white-collar work. Cinnamon uses an artificial intelligence document reading engine to fundamentally reform white-collar work. A variety of documents can be supported, including PDFs, Word files, and paper documents such as printed and handwritten documents. Currently, we provide engines to many major companies, including those in the financial and insurance industries.

【Features】

By enabling AI to understand various business documents and import them into a database, white-collar work efficiency will be drastically improved.

1) Can be read even if the format is unspecified

2) Handwritten character reading accuracy is 99.2% in research data and 95-98% in real data.

3) Automatic correction of read data by building a unique database

4) Compatible with both on-premises and cloud, and can be constructed according to the customer's security policy

■Cinnamon Co., Ltd. Major shareholder

[Cinnamon recruitment information]
Cinnamon is actively recruiting.
For more information, please see the recruitment page below.
Recruitment page (please see here for available positions and how to apply):
https://cinnamon.is/recruiting/