Nissan Chemical to Sell Own Shares Worth Over 1 Billion Under Equity Compensation Plan

TOKYO, Aug 07 (Pulse News Wire) – Nissan Chemical Corporation (4021.T) announced that its board of directors resolved to sell own shares worth over ¥1 billion under its performance-linked equity compensation plan, known as Board Benefit Trust (BBT). The sale, scheduled for August 24, 2026, involves ordinary shares totaling 271,000.

Each share will be sold at ¥7,563 per share, resulting in a total disposal amount of ¥2.050 billion. The shares will be transferred to Nippon Custodian Bank Co., Ltd. (Trust E Account), which acts as the trustee under a trust agreement established between Nissan Chemical and Mizuho Trust & Banking Co., Ltd.

The purpose of this disposal is to fund future payouts under the BBT scheme, which was introduced based on resolutions made at shareholders' meetings held on June 26, 2019, June 25, 2021, and June 25, 2026. The number of shares to be disposed aligns with the anticipated distribution to executives over three fiscal years ending March 31, 2028, representing approximately 0.20% of the outstanding shares as of March 31, 2026 (0.20% of total voting rights). The disposal price was determined based on the closing price of Nissan Chemical's ordinary shares on the Tokyo Stock Exchange on the trading day immediately preceding the board resolution, which was set at ¥7,563.

This approach ensures a fair representation of the company’s market value and is deemed reasonable.