【Senco Group Holdings】Opposition to Shareholder Proposal｜May 2026

Board of Directors' Opinion on the Shareholder Proposal

The Company received the shareholder proposal in April 2026, but the Board of Directors resolved to oppose all items. The proposal includes director appointments and amendments to the Articles of Incorporation. The opposition is based on the importance of management stability and enhancing corporate value. The Company places particular emphasis on the continuation of current directors and the appointment of outside directors familiar with the capital markets. While acknowledging the opinions of the proposing shareholders, the Company has determined that maintaining the existing structure is optimal.

Future Management Policy and Strengthening of Governance

Based on the medium-term management plan, the Company prioritizes enhancing corporate value. While evaluating the experience and expertise of the proposed new director candidates, the Company concludes that continuing the current structure supports management continuity and governance reinforcement. The Company opposes amendments to the Articles of Incorporation aimed at reducing capital costs and influencing stock price, and aims to maintain the oversight function of the existing Board of Directors.