Notice of Advisory Investment in SDS Holdings Co., Ltd. and Conclusion of Business Alliance Agreement

Overview of Investment and Business Alliance

Escrypt Energy Corporation will subscribe to a portion of the 10th new share options issued by SDS Holdings Co., Ltd. for approximately 1.4 billion yen, making an advisory investment aiming to hold up to 27.68% of voting rights. In addition, a business alliance agreement will be concluded in the fields of cryptocurrency and AI data centers. Utilizing both companies' expertise and information networks, the purpose is to create new business opportunities and consider future commercialization. The investment is positioned as a pure investment without management involvement, and voting rights ownership is planned not to exceed 20%.

Future Outlook and Strategic Significance

This investment is part of Escrypt Energy’s growth strategy based on its medium-term management plan, accelerating entry and expansion into the cryptocurrency and AI data center sectors. Through this business alliance, both companies will advance the enhancement of cryptocurrency acquisition and operation systems and jointly consider AI data center business. Specific investment conditions and profit distribution will be decided through future discussions, and outcomes and numerical impacts will be promptly disclosed once confirmed.