[Nippon Denkikogyo] Share Buyback and Introduction of Stock Compensation Scheme | June 2026

Overview of Capital Policy

Nippon Denkikogyo resolved to dispose of a total of 7,101 shares (equivalent to 16,303,896 yen) to four targeted directors as part of its restricted stock compensation scheme. The disposal price was set at 2,296 yen per share, based on the closing market price. The purpose of the scheme is to enhance long-term corporate value and to incentivize directors. The restriction period for share transfer is until the director's resignation.

Impact on Shareholders and Future Outlook

The impact of this share buyback on shareholder dilution is considered limited. The scheme includes restrictions prohibiting targeted directors from transferring shares for a certain period, as well as provisions for free acquisition upon death or resignation. Going forward, the company intends to continue operating its stock compensation scheme to further improve long-term corporate value and strengthen management incentives.