Notice Regarding Offering of Shares

Overview of the Share Offering

Daido Metal Co., Ltd. resolved at the Board of Directors meeting on March 10, 2026, to conduct an offering of 5,429,000 shares of common stock. The offering will be a purchased underwriting by underwriters, with Nomura Securities Co., Ltd. serving as the lead manager and sole bookrunner, and Mizuho Securities Co., Ltd. acting as joint lead manager in the underwriting syndicate. The offering price will be determined between March 17 and March 23, 2026, with a preliminary price range set between 90% and 100% of the closing price on the regular trading market. Additionally, an over-allotment offering of up to 814,300 shares is planned, taking into account demand conditions.

Shareholder Return Measures and Lock-up Provisions

In conjunction with this offering, a share buyback has also been resolved as a measure to mitigate supply-demand impact on the stock. Furthermore, disposal of treasury stock is decided for the purpose of granting restricted stock to employees. The selling shareholders and major shareholders have agreed to a 180-day lock-up period from the offering price determination date, during which they will not sell the Company's shares without the consent of Nomura Securities Co., Ltd. This aims to ensure stable stock distribution, diversification of shareholder base, and improved liquidity.