Tokyo Lifestyle’s Hong Kong Subsidiary Enters into US$0.96 Million Loan Agreement with Principal Executive Officer

Tokyo, Japan, March 02, 2026 (GLOBE NEWSWIRE) — Tokyo Lifestyle Co., Ltd. (“Tokyo Lifestyle” or the “Company”) (Nasdaq: TKLF), a retailer and wholesaler of Japanese health and beauty merchandise, sundry merchandise, luxurious merchandise, digital merchandise, collectible playing cards, fashionable toys in addition to different merchandise in Hong Kong, Japan, North America, Thailand, Vietnam, the United Kingdom and Australia, at present introduced that Mr. Mei Kanayama, its Representative Director and Principal Executive Officer, entered right into a five-year mortgage settlement for HKD 7.5 million (roughly US$0.96 million) (the “Loan Agreement”) with its wholly-owned Hong Kong subsidiary, Tokyo Lifestyle Limited (“TLS”), on February 19, 2026, to help TLS’s working capital and operational wants.

Pursuant to the Loan Agreement, TLS will obtain the mortgage from Mr. Mei Kanayama on February 28, 2026, with a time period working from February 1, 2026 to January 31, 2031. Repayment will comply with a schedule mutually agreed upon by each events. TLS can pay curiosity on every annual reimbursement date till all principal and accrued curiosity are absolutely repaid. Any excellent principal and remaining curiosity might be settled in a lump sum on the ultimate reimbursement date. The annual rate of interest is 4.35%, which is favorable in comparison with prevailing business lending charges within the present high-interest-rate atmosphere.

The Hong Kong retail market is returning to a gentle restoration trajectory. According to a current report by Deloitte China, Hong Kong’s retail gross sales are anticipated to extend by practically 8% year-on-year, reaching HK$410 billion (roughly US$52.41 billion) in 2026, following a notable rebound within the second half of 2025. Within this complete, the prescribed drugs and cosmetics sector is projected to develop by 11%.

Against this backdrop, TLS anticipates that the funding from Mr. Mei Kanayama will replenish its working capital, enabling the continued execution of its strategic initiatives and growth plans. This is predicted to additional strengthen its market presence and gross sales community, which lengthen into surrounding markets reminiscent of Macau and Mainland China.

Mr. Mei Kanayama commented: “As a core shareholder and executive of Tokyo Lifestyle, I am committed not only to leading the Company’s daily operations but also to demonstrating my commitment to TLS’s continued growth through concrete actions. This loan to TLS reflects my confidence in the Company’s future prospects, business model, and financial position.

“As macroeconomic conditions show signs of improvement and local markets begin to recover, TLS’s solid operational capabilities and extensive retail network position it well for further growth. Alongside the warming external environment, spending by both local consumers and returning tourists may gradually increase. This trend is particularly supported by the strengthening RMB, which could potentially support sales of beauty and health products. Under such macroeconomic tailwinds, TLS’s existing business positioning is poised to pursue sustainable growth and further expansion.

“Although the positive impact of macroeconomic improvements on the retail sector tends to emerge gradually, it is essential to prepare in advance, particularly in terms of capital. This preparation allows TLS to seize market opportunities and remain aligned with broader market momentum through well-planned marketing initiatives and effective execution.

“Moreover, TLS’s ongoing efforts to enhance omnichannel integration, optimize its store network, and elevate the overall shopping experience all require sustained and stable financial support to ensure continued progress and long-term competitiveness.

“I believe this personal funding will strengthen TLS’s financial position and support its ability to pursue strategic initiatives and capture potential opportunities as market conditions evolve. This commitment underscores my belief in TLS’s fundamentals and long-term growth potential, and I look forward to achieving new milestones together with our team.”

About Tokyo Lifestyle Co., Ltd.

Headquartered in Tokyo, Japan, Tokyo Lifestyle Co., Ltd. (previously generally known as Yoshitsu Co., Ltd) is a retailer and wholesaler of Japanese health and beauty merchandise, sundry merchandise, luxurious merchandise, digital merchandise, collectible playing cards, fashionable toys, and different merchandise in Hong Kong, Japan, North America, Thailand, Vietnam, the United Kingdom and Australia. The Company provides varied magnificence merchandise (together with cosmetics, skincare, perfume, and physique care merchandise), well being merchandise (together with over-the-counter medicine, dietary dietary supplements, and medical provides and gadgets), sundry merchandise (together with dwelling items), collectible playing cards and stylish toys (together with Pokémon playing cards, BE@RBRICK and different fashionable merchandise) and different merchandise (together with meals and alcoholic drinks). The Company at present sells its merchandise via directly-operated bodily shops, via on-line shops, and to franchise shops and wholesale prospects. For extra data, please go to the Company’s web site at https://www.ystbek.co.jp/irlibrary/.

Forward-Looking Statements

Certain statements on this press launch are forward-looking statements, inside the which means of Section 21E of the Securities Exchange Act of 1934, as amended, and as outlined within the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements contain recognized and unknown dangers and uncertainties and are primarily based on present expectations and projections about future occasions and monetary developments that the Company believes might have an effect on its monetary situation, outcomes of operations, enterprise technique, and monetary wants. Investors can establish these forward-looking statements by phrases or phrases reminiscent of “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to,” or different comparable expressions. The Company undertakes no obligation to replace forward-looking statements to mirror subsequent occasions or circumstances, or adjustments in its expectations, besides as could also be required by regulation. Although the Company believes that the expectations expressed in these forward-looking statements are affordable, it can not guarantee you that such expectations will develop into right, and the Company cautions traders that precise outcomes might differ materially from the anticipated outcomes and encourages traders to overview different components which will have an effect on its future ends in the Company’s filings with the U.S. Securities and Exchange Commission.

For extra data, please contact:

Tokyo Lifestyle Co., Ltd.
Investor Relations Department
Email: [email protected]

Ascent Investor Relations LLC
Tina Xiao
President
Phone: 1-646-932-7242
Email: [email protected]