Notice of Share Buyback and Capital Procurement via Third-Party Allotment | July 2026

Overview of Capital Policy

Aoi Electronics Co., Ltd. will dispose of 378,100 treasury shares to Nichia Corporation through third-party allotment on August 18, 2026. The disposal price is ¥2,609 per share, raising approximately ¥986.46 million. The funds will be used for procurement of production equipment and research and development in new business sectors, aiming to strengthen assembly business competitiveness and optimize new business production systems. The disposal will increase the treasury share ratio, strengthening capital relationships and expanding the business foundation.

Future Outlook and Impact on Shareholders

Funds raised from this share buyback will be allocated to new business production equipment and R&D, such as advanced packaging, contributing to business growth and long-term corporate value enhancement. The dilution scale is approximately 3.15%, and the company aims to improve shareholder value through long-term relationships and business expansion. The major shareholder structure will remain unchanged, with a long-term holding policy.