Beauty Garage to Distribute Own Shares as Equity Compensation

TOKYO, Jul 28 (Pulse News Wire) – BEAUTY GARAGE Inc. (3180.T) resolved to distribute own shares as equity compensation during a board meeting held on July 28, 2026.

The distribution, set for Aug 14, involves issuing 8,392 ordinary shares at a price of ¥1,418 per share, totaling ¥11.9 million. The shares will be distributed among 10 recipients, which include directors, executive officers, and some executives from affiliated companies. This move follows the introduction of an equity-linked remuneration system in 2018 aimed at aligning director compensation with stock value and enhancing shareholder alignment. The system was approved by shareholders in 2018 and revised in 2021.

Under this scheme, directors receive monetary compensation bonds based on performance metrics, which are then converted into company shares through a performance-linked stock allocation agreement. The compensation amount and number of allocated shares are capped annually at ¥80 million and 20,000, respectively, adjusted proportionally for changes in the total number of outstanding shares due to mergers, splits, or free allocations. Calculation methods consider factors such as position, achievement rate, tenure ratio, and role adjustment ratios. For the latest distribution, the share issuance price was determined based on the closing price of BEAUTY GARAGE's ordinary shares on the Tokyo Stock Exchange on July 27, 2026, which was deemed fair and reasonable by the audit committee.