Dalba Global to Retire Treasury Shares Within the Year and Establish ESG Committee

All 63,364 Treasury Shares Acquired Through Trust Contract to Be Retired

| Establishment of ESG Committee, Risk Management Committee, and Independent Director Nomination Committee

Cosmetics company Dalba Global will retire treasury shares within the year and establish a new committee related to Environment, Social, and Governance (ESG) under its board of directors.

On July 24, Dalba Global announced that, out of the 83,364 treasury shares acquired through a trust contract for treasury share acquisition, it plans to retire 63,364 shares within the year, excluding 20,000 shares intended for employee stock compensation (RSU·Restricted Stock Units). This represents 0.51% of the company’s total outstanding shares.

Earlier, in April, the company entered into a trust contract for treasury share acquisition with NH Investment & Securities worth approximately 17 billion won, and in June, it received approval for its treasury share holding and disposal plan at an extraordinary general meeting of shareholders. This is the first retirement of treasury shares since the company went public.

Dalba Global has decided to establish ESG Committee, Risk Management Committee, and Independent Director Nomination Committee under the board of directors. Including the existing Audit Committee, Compensation Committee, and Compliance Management Committee, the company will have a total of six committees. Each committee will be chaired by an outside director, and the majority of the members will also be outside directors, thereby enhancing the independence of the board.

The ESG Committee will formulate the company’s ESG strategies and mid- to long-term goals, and plans to publish a sustainability management report after undergoing a materiality assessment by the end of the year. The Risk Management Committee will establish enterprise risk management systems and response procedures, and will oversee key risk factors.

The Independent Director Nomination Committee will manage the director candidate recommendation and vetting process, focusing on independence and transparency. The company explained that it has established related regulations so that candidates recommended by shareholders will be evaluated by the same standards as internal recommendations.

Starting in the second half of the year, Dalba Global also plans to hold ESG briefings (roadshows) targeting institutional investors that have adopted stewardship codes, such as the National Pension Service, as well as proxy advisory firms such as ISS and Glass Lewis, and domestic and international ESG rating agencies. The strategy is to raise the company’s ESG rating and expand its base of long-term institutional investors.

A Dalba Global official stated, "Both the retirement of treasury shares as a means of shareholder return and the establishment of new committees to advance our governance ultimately aim for a single goal," adding, "The ESG Committee will lead efforts for tangible improvements such as publishing the sustainability management report and conducting materiality assessments, and by communicating these to the market, we plan to broaden our base of quality investors."

This content was produced with the assistance of AI translation services.