Notice Regarding Capital and Business Alliance and Disposal of Treasury Stock by Third-Party Allotment

Overview of Capital and Business Alliance

Stella Chemifa Corporation has concluded a capital and business alliance agreement with South Korea's Soulbrain Holdings Co., Ltd. and resolved to dispose of treasury stock by third-party allotment. Soulbrain is a company engaged in manufacturing and sales of semiconductor and display materials; both companies have maintained a good relationship through operation of a joint venture. Through this alliance, they will collaborate in research, development, and sales of products centered on high-purity chemicals for semiconductors, aiming to maximize mutual corporate value.

Details of Disposal of Treasury Stock by Third-Party Allotment and Capital Alliance

The Company will allot 389,200 treasury shares to Soulbrain for approximately 2.1 billion yen, while acquiring 363,088 shares of Soulbrain for approximately 2.1 billion yen. The funds raised will be applied to the acquisition of Soulbrain shares, effectively implementing a capital alliance through mutual shareholding. The disposal price was reasonably set based on the closing price of 5,290 yen on 2026-02-20, with a dilution rate of 3.00%, which is judged to benefit existing shareholders.

Future Outlook

This capital and business alliance and third-party allotment are judged to contribute to Stella Chemifa’s sustainable growth and medium- to long-term enhancement of corporate value, and the impact on consolidated results for the fiscal year ending March 2026 is expected to be minimal. Any matters requiring disclosure will be announced promptly.