About the Dissolution of Virtual Line Studio Co., Ltd.

Virtual Line Studio Co., Ltd. (Headquarters: Chofu City, Tokyo, hereinafter "VLS") resolved to dissolve at its general meeting of shareholders held on March 31, 2026, and entered liquidation proceedings on April 1, 2026. We hereby announce this.

VLS was established with investments from Nikkatsu Corporation (Headquarters: Bunkyo Ward, Tokyo, Representative Director and President: Naoki Sato), Digital Frontier Inc. (Headquarters: Shibuya Ward, Tokyo, Representative Director and Chairman: Hidenori Ueki), and KANAMEL Inc. (Headquarters: Shinagawa Ward, Tokyo, Representative Director and Group CEO: Yasuhito Nakae), and has been exploring the possibilities of new production methods in video production through the utilization of virtual production technology.

As part of a review of its business structure, VLS has decided to dissolve.

The virtual production-related initiatives and production support functions that VLS has undertaken to date will be continued by Django Film Co., Ltd. (Headquarters: Chofu City, Tokyo, Representative Director and President: Masaya Nagayama), a wholly-owned subsidiary of Nikkatsu Corporation.

Furthermore, we will continue to collaborate with Digital Frontier Inc., which has played an important role in VLS's business operations, for the continuation of future virtual production businesses.

VLS will proceed with the necessary procedures as a liquidating company. We would like to express our sincere gratitude to all stakeholders who have shown understanding and support for VLS's activities.

Virtual Line Studio Co., Ltd. Company Profile Location: 2-8-12 Jimi, Chofu City, Tokyo Established: July 2020 Business Activities: Virtual production business and video production support Shareholders: Nikkatsu Corporation, Digital Frontier Inc., KANAMEL Inc. URL: https://vls.co.jp/

Contact for inquiries regarding this matter Virtual Line Studio Co., Ltd. Inquiry Form: info@vls.co.jp