Notice Regarding Adjustment of Conversion Price for the 1st Unsecured Convertible Bond with Stock Acquisition Rights

Overview of Conversion Price Adjustment

Sun Frontier Fudosan Co., Ltd. has decided to adjust the conversion price of the 1st unsecured convertible bond with stock acquisition rights issued on October 6, 2023, from 1,554 yen to 1,546.1 yen. This adjustment is made pursuant to the conversion price adjustment clause because the subscription price for new shares issued by third-party allotment, resolved on February 25, 2026, fell below the fair market value stipulated in the terms of issuance of the convertible bonds. The adjusted conversion price will be applied from April 2, 2026.

Impact on Shareholders and Related Information

The conversion price adjustment affects the price at which existing convertible bondholders can convert their bonds into shares, although the adjustment magnitude is minor. This adjustment is related to the capital and business alliance with Itochu Corporation and the issuance of new shares by third-party allotment, resolved on February 25, 2026. Please refer to the related materials published on the same day for detailed information.