Kudan Inc. announced that it has reached a binding agreement on the main terms of a product license sale agreement and investment agreement (the Definitive Agreements) with Whale Dynamic Co. Ltd., Kudan's business partner which develops autonomous driving solutions in China. Details of the Agreement: The details of the Agreement concluded by Kudan and Whale Dynamic are as follows.

(1) Main terms of the product license sale agreement Kudan will sell product licenses to Whale Dynamic worth JPY 240 million. (2) Main terms of the investment agreement: Kudan will invest JPY 400 million (approximately 8% of the total outstanding shares of Whale Dynamic) in the Whale Dynamic group. Going forward, based on the Agreement, it plan to conclude the Definitive Agreements as final agreements setting out more detailed terms, and aim to complete the transactions by the end of January 2024.

It will also examine the conclusion of additional product license sale agreements and investment agreements depending on the progress of the business and collaboration structure of both parties. It will promptly announce any resolution to conclude the Definitive Agreements and additional agreements.