【Ushio Inc.】Share Buyback and Capital Policy for Employees | May 2026

Overview of the Disposal

Ushio Inc. will dispose of up to 40,620 shares of treasury stock to the employee stock ownership plan through a third-party allotment by the end of August 2026. The disposal price is 3,439 yen, with an estimated total amount of approximately 139.69 million yen. The disposal aims to raise funds and support employees' asset formation, based on the resolution of the Board of Directors in May 2023. The disposed shares will be managed with transfer restrictions, which will be lifted based on certain performance conditions and continued employment. The disposal price is determined based on the market stock price, and the dilution rate is low at 0.05％.

Future Outlook and Corporate Strategy

This disposal is part of the medium-term management plan to support employees' asset building and improve corporate value, aligned with the new growth strategy 'Revive Vision 2030' starting from fiscal 2024. The plan aims to promote employee participation in the stock ownership plan and optimize capital efficiency, utilizing a transfer-restricted stock scheme to increase employee commitment to the company. The dilution effect will be minimized, contributing to the company's long-term growth.