LEC Approves Share Repurchase Plan for Restricted Shares

TOKYO, Jul 21 (Pulse News Wire) – LEC,INC. (7874.T) announced today that its board of directors approved a share repurchase plan involving restricted shares as part of its equity compensation program.

The repurchase will take place on August 20, 2026, with the distribution of ordinary shares totaling 150,000. Each share will be valued at ¥955 per share, resulting in a total repurchase amount of ¥143.2 million. This initiative aims to align the interests of executives with those of shareholders by ensuring that key management personnel hold onto their shares during a vesting period. The repurchased shares will be distributed among five executive members who agreed to accept monetary compensation equivalent to ¥143.2 million through the issuance of restricted shares totaling 150,000 ordinary shares.

The value of each executive's compensation was determined based on their contributions and various factors within the company. The restricted shares will be subject to a holding period until the executives either retire or resign from their positions. During this period, which begins on August 20, 2026, the executives cannot sell, pledge, or gift these shares without approval from the company’s board. In cases where executives leave the company prematurely, the company reserves the right to reclaim the shares free of charge.

Upon completion of the vesting period, restrictions on the shares will be lifted, allowing executives to fully benefit from their holdings.