Sakai Chemical Industry : NOTICE OF THE 128TH ORDINARY GENERAL MEETING OF SHAREHOLDERS

Note: This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Securities code: 4078 June 2, 2023

To our shareholders:

Toshiyuki Yagura President

Sakai Chemical Industry Co., Ltd.

5-2,Ebisujima-cho,Sakai-ku,Sakai-shi, Osaka

NOTICE OF THE 128TH ORDINARY GENERAL MEETING OF SHAREHOLDERS

We are pleased to announce the 128th Ordinary General Meeting of Shareholders of Sakai Chemical Industry Co., Ltd. (the "Company"), which will be held as described below.

In convening this General Meeting of Shareholders, the Company has taken measures for providing information that constitutes the content of reference documents for the general meeting of shareholders, etc. (items for which measures for providing information in electronic format are to be taken) in electronic format, and has posted the information on each of the following websites. Please access either of the websites to view the information.

The Company's website:

https://www.sakai-chem.co.jp/jp/ir/general_meeting/ (in Japanese)

(in Japanese)

In addition to posting items subject to measures for electronic provision on the Company website, the Company also posts this information on the website of the Tokyo Stock Exchange (TSE). Access the TSE website by using the internet address shown below, enter "Sakai Chemical Industry" in "Issue name (company name)" or the Company's securities code "4078" in "Code," and click "Search." Then, click "Basic information" and select "Documents for public inspection/PR information." Under "Filed information available for public inspection," click "Click here for access" under "[Notice of General Shareholders Meeting /Informational Materials for a General Shareholders Meeting]."

TSE website (Listed Company Search):

https://www2.jpx.co.jp/tseHpFront/JJK010010Action.do?Show=Show (in Japanese)

(in Japanese)

If you will not be attending this General Meeting of Shareholders in person, you may exercise your voting rights either via the Internet, etc. or in writing (by postal mail). Please review the Reference Documents for the General Meeting of Shareholders and, exercise your voting rights no later than 5:40 p.m., Tuesday, June 27, 2023 (Japan standard time).

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1. Date and Time: Wednesday, June 28, 2023 at 10:00 a.m. (Reception opens at 9:00 a.m.) (Japan Standard Time)
2. Venue: Auditorium on the 3rd floor of the Company's head office

5-2,Ebisujima-cho,Sakai-ku,Sakai-shi, Osaka

3. Purposes:

Items to be reported:

1. Business Report and Consolidated Financial Statements for the 128th Term (from April 1, 2022 to March 31, 2023), as well as the results of audit of the Consolidated Financial Statements by the Accounting Auditor and the Board of Corporate Auditors
2. Non-ConsolidatedFinancial Statements for the 128th Term (from April 1, 2022 to March 31, 2023)

Items to be resolved:

Proposal 1: Election of Eight (8) Directors

Proposal 2: Election of Accounting Auditor

Proposal 3: Payment of Directors' Bonuses

• Of items for which the measures for providing information in electronic format will be taken, "Systems to Ensure Appropriate Operations and Status of Operation of the Systems," "Consolidated Statements of Changes in Equity," "Notes to the Consolidated Financial Statements," "Non-consolidated Statements of Changes in Equity" and "Notes to Non-Consolidated Financial Statements" are not included in the document in accordance with the provisions of laws and regulations as well as Article 14 of the Company's Articles of Incorporation. The Business Report, Consolidated Financial Statements and Non-Consolidated Financial Statements in the document are included in the scope of audit conducted by the Corporate Auditors and the Accounting Auditor in preparing the audit report.
• If revisions to the items subject to measures for electronic provision arise, a notice of the revisions and the details of the items before and after the revisions will be posted on the Company's aforementioned website and the TSE website.
• Shareholders who will be attending the meeting in person are requested to take note of their health condition.
• Furthermore, gifts will not be prepared for the shareholders who attend the meeting in person, and we ask for your understanding.

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Regarding Questions Sent in Advance

Before the convening of the General Meeting of Shareholders, we would like to receive questions from shareholders in advance as follows.

• We plan to post responses to received questions on the Company's website (https://www.sakai- chem.co.jp/jp/ir_general_meeting.php; Japanese only) by the day before this General Meeting of Shareholders. Please note that it may not be possible to answer all questions. Please also note that we cannot provide individual responses to questions.
• We may not respond to questions that are unrelated to items to be reported or to be resolved at the General Meeting of Shareholders.

• Receipt of advance questions

1. For questions sent via the Internet
   ◎ Please access the special website from the following URL or using the QR code, and enter the required

information.

• Internet Explorer cannot be used. Please use a browser such as Google Chrome or Microsoft Edge. https://www.sakai-chem.co.jp/fc/inquiry_fc/128th_ogmos20230628-roqia.html (in Japanese)

(in Japanese)

1. For questions sent in writing (by postal mail)
   ◎ Questions will also be accepted in writing. Please fill in the required information and the content of

questions, and mail these to the following address early enough to arrive by the deadline. Required information

1. Shareholder number (see your voting card form) (2) Name (3) Zip code (4) Address (5) Content of questions

Mailing address 590-8502

5-2,Ebisujima-cho,Sakai-ku,Sakai-shi, Osaka

Sakai Chemical Industry Co., Ltd., Administration Division, Human Resources and General Affairs Department

Deadline for receipt of questions: Arrival by 5:40 p.m. on Wednesday, June 21, 2023

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Reference Documents for the General Meeting of Shareholders

Proposals and Reference Information

Proposal 1: Election of Eight (8) Directors

The terms of office of all nine (9) Directors in their present positions will expire upon the conclusion of this General Meeting. Accordingly, the Company proposes the election of eight (8) Directors. Director Atsuya Nakanishi will retire from office upon the conclusion of this General Meeting.

The candidates for Directors are as follows:

						Attendance
No.		Name	Gender	Tenure	Current position and	Status of the
	responsibilities in the Company	Board of
						Directors
					Chairman Representative	17 times / 17
1	[Reappointment]	Masaaki Yabe	Male	11 years	times
Director
					(100%)
					President Representative Director	17 times / 17
					and Executive Officer
2	[Reappointment]	Toshiyuki Yagura	Male	3 years	times
In charge of Internal Control over
					(100%)
					Financial Reporting
					Managing Director and Executive
					Officer	17 times / 17
					General Manager, Research &
3	[Reappointment]	Shinji Nakahara	Male	3 years	times
Development Division; General
					(100%)
					Manager, Production Technology
					Division
					Director and Executive Officer	14 times / 14
					General Manager, Onahama
4	[Reappointment]	Yasuhiro Okamoto	Male	7 years	Manufacturing Site; Deputy	times
					General Manager, Production	(100%)
					Technology Division
					Director and Executive Officer
					In charge of Compliance, Legal	17 times / 17
					Affairs, Risk Management;
5	[Reappointment]	Hiroyuki Hattori	Male	3 years	Deputy General Manager,	times
					Corporate Strategy Division;	(100%)
					General Manager, Accounting &
					Finance Department
	[Reappointment]				Outside Director	17 times / 17
6	[Outside]	Yoshikazu Itou	Male	2 years	times
Independent Officer
	[Independent]				(100%)
	[Reappointment]				Outside Director	17 times / 17
7	[Outside]	Hiromi Wada	Female	2 years	times
Independent Officer
	[Independent]				(100%)
	[Reappointment]				Outside Director	14 times / 14
8	[Outside]	Mitsunori Matsuda	Male	1 year	times
Independent Officer
	[Independent]				(100%)

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	Name	Career summary, position, responsibilities and significant	Number of the
No.	Company's shares
(Date of birth)		concurrent positions outside the Company
		owned
		Apr. 1982	Joined the Company
		Sept. 2006	General Manager, Sales & Marketing
			Department, Inorganic Chemicals Division
		Sept. 2009	General Manager, Sales & Marketing
	Masaaki Yabe		Department, Titanium Dioxide Division
	Sept. 2010	General Manager, Electronic Materials Division
	(August 9, 1959)	39,152 shares
		and Sales & Marketing Department
	[Reappointment]
	June 2012	Director
		June 2014	President Representative Director
1		June 2021	President Representative Director and
		Executive Officer
		June 2022	Chairman Representative Director (to present)
	Reasons for nomination:
	Masaaki Yabe has a wealth of experience and a proven record of accomplishment in the sales section and other sections
	and is well-versed in the Company's business in general. Since assuming the position of President Representative
	Director of the Company in June 2014, he has led the Group with his high level of management ability and strong
	leadership. He has been responsible for the supervisory functions of management from a non-executive standpoint since
	assuming the position of Chairman Representative Director in June 2022, and possesses knowledge of the Company's
	overall management. We have determined that he is an essential person to enhance the Group's corporate value, and
	have again nominated him as a candidate for Director.
		Apr. 1988	Joined the Company
		June 2014	General Manager, Corporate Planning
			Department
		Sept. 2019	General Manager, Human Resources and
			General Affairs Department
	Toshiyuki Yagura	June 2020	Director; General Manager, Administration
	(June 24, 1964)		Division	11,113 shares
	[Reappointment]	June 2021	Director and Executive Officer; General
			Manager, Administration Division
2		June 2022	President Representative Director and
		Executive Officer
			In charge of Internal Control over Financial
			Reporting (to present)
	Reasons for nomination:
	Toshiyuki Yagura has extensive experience in human resources and corporate planning, and has a proven record of
	establishment and operation of personnel systems as well as successful conclusion of M&A. Since his tenure as General
	Manager of the Administration Division, he has led ESG initiatives including reshaping the personnel system and
	strengthening quality assurance and health and safety management systems. He has exhibited strong leadership skills
	since assuming the position of President Representative Director in June 2022 and has been leading the Group's
	management and we have determined that he is an essential person to enhance the Group's corporate value. Therefore,
	we have again nominated him as a candidate for Director.

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