{"url_path":"/sec/lgps/10-k/2026/item-14","section_key":"item-14","section_title":"Item 14 MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS**","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-07-13","source_url":"https://www.sec.gov/Archives/edgar/data/2040290/0001493152-26-032936-index.html","accession_number":"0001493152-26-032936","cik":"0002040290","ticker":"LGPS","issuer_name":"LOGPROSTYLE INC.","edgar_url":"https://www.sec.gov/Archives/edgar/data/2040290/0001493152-26-032936-index.html","primary_entity_key":"0002040290","primary_entity_name":"LOGPROSTYLE INC."},"word_count":402,"has_tables":true,"body_markdown":"**ITEM\n14. MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS**\n\n \n\nOn\nMarch 24, 2025, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Spartan Capital Securities,\nLLC, as representative of the several underwriters listed on Schedule 1 to the Underwriting Agreement (the “Representative”),\nrelating to the Company’s initial public offering (the “IPO”) of 2,000,000 common shares (the “Common Shares”).\nThe Company also granted the underwriters a 45-day option to purchase up to 300,000 additional Common Shares on the same terms and conditions\nfor the purpose of covering any over-allotments in connection with the IPO.\n\n \n\nOn\nMarch 26, 2025, the Company closed the IPO. The Company completed the IPO pursuant to its registration statement on Form F-1 (File No.\n333-283286), which was initially filed with the U.S. Securities and Exchange Commission (the “SEC”) on November 15, 2024,\nas amended, and a post-effective amendment thereto was declared effective by the SEC on March 24, 2025. The Common Shares were priced\nat $5.00 per Common Share, and the offering was conducted on a firm commitment basis. The Common Shares were approved for listing on\nthe NYSE American LLC and commenced trading under the ticker symbol “LGPS” on March 25, 2025.\n\n \n\nThe\namount of expenses incurred in connection with the offering, including underwriters’ discounts and commissions, were US$4,588,189.\nThe net offering proceeds to the Company was US$5,411,811.\n\n \n\nAs\nof March 31, 2026, a portion of the net proceeds had been used for the development of Prostyle Ryokan Asakusa II and the establishment\nof our Dubai subsidiary. In March 2026, however, we decided to suspend our planned expansion into Dubai in light of the geopolitical\nsituation in the Middle East.\n\n \n\nThe\nremaining net proceeds are expected to be used primarily for (i) the development and expansion of our Prostyle Ryokan business, including\nthe development and management of Machinaka Ryokans in Japan, such as Prostyle Ryokan Asakusa II and additional locations in Tokyo, Osaka,\nand Kyoto, (ii) strategic investments and business expansion in the United States, including hospitality, restaurant, and other business\noperations, and (iii) the development and expansion of our real estate renovation and resale business under our “Log Mansion”\nbrand, including through investments in or acquisitions of local real estate companies in Japan, other Asian countries, and the United\nStates. We may reallocate the remaining proceeds among these intended uses depending on market conditions, business opportunities, and\nour strategic priorities."}