TOKYO, Apr 28 (Pulse News Wire) – Otake Corporation (7434.T) announced today that its board of directors approved a plan to distribute own shares to employees through a special incentive scheme. The distribution, scheduled for July 15, 2026, involves up to 29,700 ordinary shares at a price of ¥1,840 per share, totaling up to ¥54.6 million.
The shares will be allocated to the Otake Employee Shareholding Association based on employee participation in the incentive program. The purpose of this initiative is to support employees' asset formation while fostering greater engagement and value-sharing among shareholders. The dilution impact is considered minor, affecting less than 0.69% of the outstanding shares as of November 30, 2025, and approximately 0.76% of total voting rights as of November 30, 2025. Under the scheme, eligible employees who agree to participate will receive special incentives, which they will contribute to the association.
The association will then purchase shares from the company using these contributions. The distribution price was determined based on the closing price of Otake's stock on the Tokyo Stock Exchange on April 27, 2026, which was deemed reasonable compared to average prices over recent months. The board members, including three outside directors, confirmed that the pricing process was fair and did not favor the allocation entity. As the dilution rate is below 25% and does not involve changes in controlling shareholder status, additional procedures such as obtaining independent opinions or shareholder approval are not required according to Tokyo Stock Exchange regulations.
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