On February 26, 2024, Pixie Dust Technologies, Inc. reached an agreement with The Shoko Chukin Bank Ltd. (the Lender) to amend that certain Loan Agreement, dated as of March 22, 2019, (the ?Loan Agreement?) by and between the Company and the Lender (the Amendment) to extend the maturity date thereunder from February 29, 2024 to May 31, 2024. Other than this extension of the maturity date, no additional amendments or other changes are being made to the Loan Agreement. The Company expects to obtain new debt financing or refinancing (collectively, the ?New Financing?) of the amounts owed under the Loan Agreement.

In connection with determining the relevant terms of New Financing, it will be necessary to reasonably estimate the Company?s weighted average cost of capital (WACC). However, the Company?s American depositary receipt (ADR) price has recently been variable given the discrepancy between the balance of long and short positions in ADRs as the lock-up period entered in connection with initial public offering for existing shareholders expired on February 1, 2024. In light of these developments, and due to the current difficulty in reasonably calculating the Company?s WACC as indicated, the Company received from the Lender the aforementioned extension of the maturity date under the Loan Agreement in furtherance of obtaining the New Financing.

Once the discussions regarding the New Financing have been completed, the Company expects to provide additional information to its stockholders as part of its ongoing public company reporting obligations.