Disposal of 90% Stake in Lotte Eco World for KRW 170.8 Billion - Focus on Core Business

Lotte Energy Materials decided to dispose of its 90% stake (550,620 shares) in affiliate Lotte Eco World for KRW 170.8 billion (KRW 170,800,121,520).
Post-disposal stake reduces to 10%, aiming to focus on core business and secure foundation for new business opportunities.
Buyer is Facade Holdings Co., Ltd. (an investment vehicle managed by Llys Private Equity Co., Ltd.). Expected closing date is July 7, 2026.
Disposal price represents a premium of approximately 2.4x Lotte Eco World's book value (equity of ~KRW 78.9 billion as of end-2025).
Shareholders' agreement includes tag-along rights and co-sale rights (put options) in case of change of control.

Filing: Decision on Disposal of Stocks and Investment Securities in Other Corporations
Company: Lotte Energy Materials (020150)
Submission: Lotte Energy Materials Corporation
Receipt: 05-22-2026
Under KRX KOSPI Market Division