Spin-off/split decision (subsidiary)

What happened

Cherrybro / Spin-off decision (subsidiary) / (2026-07-15), Report on material matters concerning subsidiary Hankook Broiler Processing & Distribution Co., Ltd.

1. Method of split: This split will be carried out as a simple spin-off (human/physical division) under Articles 530-2 through 530-11 of the Commercial Act, whereby shareholders of the splitting company are allotted shares of the newly established company in proportion to their shareholding ratio as of the record date for the spin-off new share allotment (24:00 on August 31, 2026). The business segment subject to the split will be separated from the businesses operated by the splitting company to establish the newly incorporated company, while the splitting company continues to exist and operate the business segments other than the business segment subject to the split.

2. Purpose of the split: After this split, the surviving split company will focus on all businesses excluding the business segment subject to the split, and the newly incorporated company will focus on the business segment subject to the split, so that each may strengthen its business competitiveness and establish an independent, responsible management system, thereby diversifying investment risk and management risk.

3. Material impact and effect of the split: Through this, the surviving split company and the newly incorporated company will each establish a fast, flexible, and specialized decision-making system suited to each business's characteristics and improve their financial structure, ultimately aiming to enhance overall corporate value and shareholder value.

4. Split ratio: 0.1387535

5. Business and assets to be transferred by the split: Through the split, the splitting company will transfer to the newly incorporated company, as provided in the split plan, all active and passive assets, other rights and obligations, and factual relationships having property value (including permits/licenses, employment relationships, contractual relationships, intellectual property rights, litigation and disputes, etc.) belonging to the business segment subject to the split (the "Transferred Assets").

6. Surviving company after the split Company name: Hankook Broiler Processing & Distribution Co., Ltd. Financial details after the split (KRW), as of 2026-03-31: Total assets 12,410,047,153; Total liabilities 6,726,058,741; Total equity 5,683,988,412; Capital stock 2,000,000,000 Revenue of the surviving business segment for the most recent fiscal year (KRW): 19,331,329,919 Main business: deboning, portioned meat, and institutional food-service businesses, covering the southern and northern regions of Gyeonggi-do Whether listing is maintained after the split: No

7. Newly incorporated company Company name: Cherrybro Haenaru Co., Ltd. (tentative name) Financial details at incorporation (KRW), as of 2026-03-31: Total assets 28,870,992,843; Total liabilities 11,107,372,431; Total equity 17,763,620,412; Capital stock 2,000,000,000 Revenue of the new business segment for the most recent fiscal year (KRW): - Main business: slaughtering, deboning, portioned meat, institutional food service, and raising operations, etc., covering the Chungcheongnam-do region Whether re-listing will be applied for: No

8. Matters concerning capital reduction Capital reduction ratio (%): 72.2493658 Old share certificate submission period: start date -; end date - Expected trading suspension period: start date -; end date - New share allotment conditions: allotment record date, shareholders registered in the shareholder register; proportional allotment by shares held: proportional allotment New share allotment record date: 2026-08-31 Expected new share certificate delivery date: - Expected listing date of new shares: -

9. Spin-off schedule Board resolution date: 2026-07-15, outside directors present: 3; absent: -; auditor (audit committee member who is not an outside director) attendance: - Shareholder confirmation record date: 2026-06-30 Shareholder register closure period: start date -; end date - Period for receiving notices of objection to the split: start date -; end date - Expected shareholders' meeting date: 2026-07-30 Appraisal rights exercise period: start date -; end date - Creditor objection period: start date 2026-07-31; end date 2026-08-31 Split date: 2026-09-01 Completion report meeting date: 2026-09-02 Expected split registration date: 2026-09-02

10. Matters concerning appraisal rights: exercise requirements -; expected purchase price -; exercise procedure, method, period, place -; expected payment timing, payment method -; restrictions on appraisal rights -; effect on the contract -

11. Whether a put-option or similar contract has been concluded: No; contract details: -

12. Whether a securities registration statement must be filed: No; reason exempted, if applicable: -

13. Future plans for corporate restructuring: -

14. For a physical (vertical) split, review content on pursuing the physical split: -

15. For a physical split, shareholder protection measures: -

16. Other important matters relevant to investment decisions Amendment and modification of the split plan: The split plan may be partially amended or modified by the board of directors or the CEO due to changes in business operations, changes in internal/external circumstances in implementing the splitting company's plan, the process of consultation with relevant agencies, or enactment/amendment of relevant laws, and may also be changed during the shareholders' meeting approval process.

Related disclosures: - Related disclosure regulations: Financial Investment Services and Capital Markets Act

[Matters concerning the subsidiary] Subsidiary name: Hankook Broiler Processing & Distribution Co., Ltd. (English: HANKOOK BROILER PROCESSING & DISTRIBUTION CO., LTD.) Representative: Lee Seung-gil Main business: slaughtering, deboning, portioned meat, institutional food service, raising operations, etc. Whether it is a major subsidiary: Yes Total assets of the subsidiary (KRW): 40,270,780,477 Consolidated total assets of the parent company (KRW): 327,107,434,896 As % of parent company's consolidated total assets: 12.31