Stock Option Grant: 210,000 Shares to 11 Executives at KRW 39,520
Original: 주식매수선택권부여에관한신고
Summary
The company's board approved granting stock options for 210,000 common shares to 11 non-registered executives (one Executive Vice President and ten Managing Directors). The exercise price is set at KRW 39,520 per share, slightly below the prior trading day's close of KRW 43,750, with an exercise window from May 14, 2028 to May 14, 2033. The fair value per option is KRW 23,765 based on a binomial pricing model assuming 62.01% volatility and a 4.5-year expected term. Following this grant, total outstanding options stand at 341,431 common shares. Options may be settled via new share issuance or treasury share delivery, to be decided later.
Full Translation
Notification of Stock Option Grant
6.0
Hana Micron Co., Ltd.
Notification of Stock Option Grant
To: Financial Services Commission / Korea Exchange
May 14, 2026
Company Name: Hana Micron Co., Ltd.
CEO: Lee Dong-cheol
Head Office: 77 Yeonamyulgeum-ro, Eumbong-myeon, Asan-si, Chungcheongnam-do
(Phone) 041-423-7777
(Website) http://www.hanamicron.com
Responsible Officer: (Title) Executive Managing Director (Name) Park Sang-muk (Phone) 041-423-7777
Stock Option Grant
1. Grantees (persons)
- Directors, auditors, or employees of the listed company: 11
- Directors, auditors, or employees of affiliates: -
2. Shares Granted (shares)
- Common stock: 210,000
- Other shares: -
3. Exercise Conditions
- Exercise Period: Start date May 14, 2028 / End date May 14, 2033
- Exercise Price (KRW): Common stock 39,520 / Other shares: -
4. Grant Method: Issuance of new shares, delivery of treasury shares
5. Resolving Body: Board of Directors
6. Grant Date: May 14, 2026
7. Legal Basis: Article 542-3 of the Commercial Act and Article 12 of the Articles of Incorporation (Stock Options)
8. Total Outstanding Options After This Grant (shares)
- Common stock: 341,431
- Other shares: -
9. Board Resolution Date: May 14, 2026
- Outside Directors Attendance: Present 2 / Absent -
- Auditor (Audit Committee Member) Attendance: Present
10. Other Matters for Investment Reference
a. Type of Shares: Registered common shares
b. Exercise Price: KRW 39,520/share (the higher of: the arithmetic average of the weighted average prices over the past 2 months, past 1 month, and past 1 week prior to May 14, 2026 ("market price"), or par value)
c. Legal Basis: Article 542-3 of the Commercial Act and Article 12 of the Company's Articles of Incorporation (Stock Options)
d. Grant Method: To be determined later between new share issuance and treasury share delivery
e. Other: Matters not covered above follow relevant laws, the Company's Articles of Incorporation, and the stock option agreement.
[Grant Details by Recipient]
Recipient | Relationship | Shares Granted (Common) | Fair Value | Notes
○○○ | Non-registered Executive (Executive Managing Director) | 30,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 15,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 15,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 15,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 15,000 | KRW 23,765 | -
○○○ | Non-registered Executive (Managing Director) | 20,000 | KRW 23,765 | -
Notes:
1. The above "fair value" is the fair value of the stock option, not the market price of the underlying shares.
2. Valuation Method: Fair value approach (binomial option pricing model).
3. Key Assumptions:
a. Share price on grant date: KRW 43,750 (based on closing price on the day before grant, May 13, 2026)
b. Exercise price: KRW 39,520/share
c. Risk-free rate: 3.84% (government bond yield matching residual maturity, as of the day before grant)
d. Expected exercise period: 4.5 years
e. Expected stock price volatility: 62.01%
f. Expected dividend yield: 0.46%
4. The above figures may change following external auditor review.
※ Matters Regarding Other Shares
Articles of Incorporation Basis: Article 12 (Stock Options)
① The Company may grant stock options within 15% of total issued shares by special resolution of the shareholders' meeting. However, pursuant to Article 542-3(3) of the Commercial Act, stock options may be granted by board resolution within 3% of total issued shares. In this case, stock options may be granted as performance-linked options tied to business performance or stock price indices.
② Stock options granted by board resolution under the proviso of Paragraph 1 must be approved at the first shareholders' meeting convened after such grant.
③ Eligible recipients under Paragraph 1 are directors, auditors, or employees of the Company who have contributed or can contribute to the establishment, management, and technological innovation of the Company, as well as directors, auditors, or employees of affiliated companies as defined under Article 30(1) of the Enforcement Decree of the Commercial Act. However, stock options to directors of the Company may not be granted by board resolution.
④ Notwithstanding Paragraph 3, stock options may not be granted to the largest shareholder, major shareholders, and their specially related persons as defined in Article 542-8(2)5 and 6 of the Commercial Act. However, stock options may be granted to persons who become specially related parties by virtue of becoming executives of the Company or an affiliate (including cases where such executive is a director or auditor not engaged in regular management of affiliated companies).
⑤ Stock options granted to a single executive or employee may not exceed 10% of total issued shares.
⑥ Stock options may be cancelled by board resolution in any of the following cases:
1. The grantee resigns voluntarily.
2. The grantee causes material damage to the Company through willful misconduct or negligence.
3. Exercise of the option becomes impossible due to the Company's bankruptcy or similar circumstances.
4. Other cancellation grounds specified in the stock option agreement occur.
⑦ The Company shall grant stock options by one of the following methods:
1. Issuing new registered common shares (or registered preferred shares) at the exercise price.
2. Delivering treasury registered common shares (or registered preferred shares) at the exercise price.
3. Paying the difference between the exercise price and the market price in cash or treasury shares.
⑧ Grantees may exercise their rights within 7 years from the date of having served continuously for at least 2 years from the resolution date under Paragraph 1. However, persons who die within 2 years of the resolution date or retire/resign for reasons not attributable to themselves may exercise during the exercise period.
⑨ The provisions of Article 13 shall apply mutatis mutandis to dividends on new shares issued upon exercise of stock options.
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