| Share-based payment arrangements |
24. Share-based payment arrangements
| A. |
Description of share-based payment arrangements |
As of June 30, 2026, the Company had the following share-based payment arrangements. On October 1, 2015, June 29, 2016 and June 15, 2020, the Company established share option plans that entitle key management personnel and employees to purchase shares in the Company. Under these plans, holders of vested options are entitled to purchase shares at the exercise price at the grant date. Currently, these plans are limited to key management personnel and employees.
The key terms and conditions related to the grants under these plans are as follows:
| Schedule of share option plan |
|
|
|
|
|
|
|
|
|
|
|
|
| Grant date |
|
Number of
instruments |
|
|
Vesting
conditions |
|
Contractual
life of options |
|
Type |
|
Underlying
assets |
| As of October 1, 2015 (*1) |
|
|
9,500,000 |
|
|
2 years’ service from grant date |
|
9 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| As of June 29, 2016 (*2) |
|
|
85,638 |
|
|
2 years’ service from grant date |
|
9 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| As of June 15, 2020 |
|
|
7,000,000 |
|
|
2 years’ service from grant date |
|
7 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| Total share options |
|
|
16,585,638 |
|
|
|
|
|
|
|
|
|
| (*1) |
The options granted as of October 1, 2015 have been fully vested. Certain of these options were exercised, and the remaining options expired upon reaching the end of their contractual life. As of June 30, 2026, there were no exercisable options outstanding related to this grant. |
| (*2) |
The options granted as of June 29, 2016 have been fully vested and exercised. As of June 30, 2026, there were no exercisable options outstanding related to this grant. |
| B. |
Measurement of fair values |
The fair value of the employee share options granted as of June 15, 2020 has been measured using a binomial model. The inputs used in the measurement of the fair values at the grant date of the equity-settled share-based payment plans are as follows:
| Schedule of share option grant |
|
|
|
|
|
|
| Share option plan (equity-settled) |
|
|
|
June 15,
2020 |
|
| |
|
|
|
(In Korean Won and number of shares) |
|
| Fair value of option |
|
₩ |
|
|
1,132 |
|
| Share price |
|
₩ |
|
|
1,412 |
|
| Exercise price |
|
₩ |
|
|
500 |
|
| Risk - free interest rate (based on government bonds) |
|
|
|
|
3.89 |
% |
| Volatility (*) |
|
|
|
|
83.78 |
% |
| Expected term (years) |
|
|
|
|
4 ~ 5 |
|
| Expected dividend |
|
|
|
|
0 |
% |
| (*) |
Volatility has been calculated based on an evaluation of the historical volatility of other companies’ share prices, which are listed in KOSDAQ, particularly over the historical period commensurate with the prior year. |
| C. |
Reconciliation of outstanding share options |
The number and exercise prices of share options under the share option plan for the periods ended June 30, 2026 and 2025 are as follows:
| Schedule of reconciliation of outstanding share options |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Six-month
period ended
June 30,
2026 |
|
|
Six-month
period ended
June 30,
2025 |
|
| Share option plan (equity-settled) |
|
Number of
options |
|
|
Exercise
Price(*) |
|
|
Number of
options |
|
|
Exercise
Price(*) |
|
| |
|
(In Korean Won and number of options) |
|
| Outstanding at January 1 |
|
|
640,160 |
|
|
₩ |
|
500 |
|
|
|
640,160 |
|
|
₩ |
|
500 |
|
| Exercised during the period |
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
| Outstanding at June 30 |
|
|
640,160 |
|
|
|
|
500 |
|
|
|
640,160 |
|
|
|
|
500 |
|
| Exercisable at June 30 |
|
|
640,160 |
|
|
₩ |
|
500 |
|
|
|
640,160 |
|
|
₩ |
|
500 |
|
| (*) |
Weighted average exercise price per share. |
|
26. Share-based payment arrangements
| A. |
Description of share-based payment arrangements |
As of December 31, 2025, the Company had the following share-based payment arrangements. On October 1, 2015, June 29, 2016 and June 15, 2020, the Company established share option plans that entitle key management personnel, employees, and non-employees to purchase shares in the Company. Under these plans, holders of vested options are entitled to purchase shares at the exercise price agreed upon at the grant date.
The key terms and conditions related to the grants under these plans are as follows:
| Schedule of share option plan |
|
|
|
|
|
|
|
|
|
|
|
|
| Grant date |
|
Number of
instruments |
|
|
Vesting
conditions |
|
Contractual
life of options |
|
Type |
|
Underlying
assets |
| As of October 1, 2015 (*1) |
|
|
9,500,000 |
|
|
2 years’ service from grant date |
|
9 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| As of June 29, 2016 (*2) |
|
|
85,638 |
|
|
2 years’ service from grant date |
|
9 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| As of June 15, 2020 |
|
|
7,000,000 |
|
|
2 years’ service from grant date |
|
7 years |
|
Equity-settled |
|
CUBEBIO Co., Ltd.’s ordinary shares |
| Total share options |
|
|
16,585,638 |
|
|
|
|
|
|
|
|
|
| (*1) |
The options granted as of October 1, 2015 have been fully vested. Certain of these options were exercised, and the remaining options expired upon reaching the end of their contractual life. As of December 31, 2025, there were no exercisable options outstanding related to this grant |
| (*2) |
The options granted as of June 29, 2016 have been fully vested and exercised. As of December 31, 2025, there were no exercisable options outstanding related to this grant. |
| B. |
Measurement of fair value |
The fair value of the employee share options granted as of June 15, 2020 has been measured using a binomial model. The inputs used in the measurement of the fair values at the grant date of the equity-settled share-based payment plans are as follows:
| Schedule of share option grant |
|
|
|
|
|
|
| Share option plan (equity-settled) |
|
|
|
June 15,
2020 |
|
| |
|
|
|
(In Korean won and number of shares) |
|
| Fair value of option |
|
₩ |
|
|
1,132 |
|
| Share price |
|
₩ |
|
|
1,412 |
|
| Exercise price |
|
₩ |
|
|
500 |
|
| Risk - free interest rate (based on government bonds) |
|
|
|
|
3.89 |
% |
| Volatility (*) |
|
|
|
|
83.78 |
% |
| Expected term (years) |
|
|
|
|
4 ~ 5 |
|
| Expected dividend |
|
|
|
|
0 |
% |
| (*) |
Volatility has been calculated based on an evaluation of the historical volatility of other companies’ share prices, which are listed in KOSDAQ, particularly over the historical period commensurate with the prior year. |
| C. |
Reconciliation of outstanding share options |
The number and exercise prices of share options under the share option plan for the years ended December 31, 2025 and 2024 are as follows:
| Schedule of reconciliation of outstanding share options |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
2025 |
|
|
2024 |
|
| Share option plan (equity-settled) |
|
Number of
options |
|
|
|
|
Exercise
price(*) |
|
|
Number of
options |
|
|
|
|
Exercise
price(*) |
|
| |
|
(In Korean Won and number of options) |
|
| Outstanding at January 1 |
|
|
640,160 |
|
|
₩ |
|
|
500 |
|
|
|
3,893,760 |
|
|
₩ |
|
|
500 |
|
| Expired during the year |
|
|
- |
|
|
|
|
|
- |
|
|
|
(1,200,000 |
) |
|
|
|
|
- |
|
| Exercised during the year |
|
|
- |
|
|
|
|
|
- |
|
|
|
(2,053,600 |
) |
|
|
|
|
500 |
|
| Outstanding at December 31 |
|
|
640,160 |
|
|
|
|
|
500 |
|
|
|
640,160 |
|
|
|
|
|
500 |
|
| Exercisable at December 31 |
|
|
640,160 |
|
|
₩ |
|
|
500 |
|
|
|
640,160 |
|
|
₩ |
|
|
500 |
|
| (*) |
Weighted average exercise price per share. |
|