KURODA PRECISION INDUSTRIES LTD. [7726.T]
TOKYO, Jun 26 (Pulse News Wire) – Kuroda Precision Industries Ltd. (7726.T) resolved to issue restricted shares as compensation to directors during a board meeting held on June 26, 2026.
The issuance is scheduled for July 24, 2026. Under the plan, the company will issue ordinary shares totaling 14,237. Each share will be priced at ¥1,527 per share, resulting in a total issuance amount of ¥21.7 million. The shares will be distributed through a method involving specific transfer restrictions, with the payment made via physical asset contribution of monetary reward claims. This move follows the introduction of a restricted stock award system in 2018 aimed at enhancing long-term corporate value and promoting shared value among directors and shareholders.
According to the system, directors will receive restricted shares annually based on their performance and responsibilities, subject to a 30-year holding period. Additionally, the company will enter into individual restricted stock allocation agreements with each director. Key provisions include a non-transfer clause during the restriction period from July 24, 2026 to July 23, 2056, automatic redemption by the company upon expiration of the restriction period, and conditions allowing early removal of restrictions due to valid reasons such as resignation. The decision was made considering various factors, including the company's performance and the roles of the directors involved. The issuance price is determined based on the closing price of the company’s ordinary shares on the Tokyo Stock Exchange on June 25, 2026, which was deemed fair and reasonable.
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