Kaldalón hf.: Grant of Share Options

The Board of Directors of Kaldalón hf. has resolved to grant certain employees of the Company share options for up to 4,000,000 shares in the Company.

The terms of the share option agreements are in accordance with the remuneration policy approved at Kaldalón's Annual General Meeting on 26 March 2026. The purpose of the share options is to align the long-term interests of the Company and its employees.

The principal terms of the share option agreements are as follows:

The exercise price of the share options is ISK 25.7 per share, corresponding to the average share price of the Company's shares over the last 10 trading days, as registered on Nasdaq Iceland prior to the grant date. The exercise price shall be adjusted downwards for future dividend payments and corresponding distributions to shareholders of the Company's assets, on a króna-for-króna basis. The exercise price shall also be adjusted by 3% annual interest in addition to the risk-free rate from the grant date until the first possible exercise date for each exercise period.

The vesting date is three (3) years from the date of grant.

The exercise period commences immediately after the minimum vesting period of three (3) years from the date of grant, at which time one-third of the share options may be exercised (period 1). One year thereafter, a further one-third may be exercised (period 2), and one year after that, the remaining one-third may be exercised (period 3).

As a general rule, share options lapse before vesting if the employment relationship between the option holder and the Company is terminated.

In the event of a change of control of the Company, cf. Article 100 of Act No. 108/2007 on Takeovers, all outstanding share options shall vest immediately through accelerated vesting.

The Company is not permitted to grant loans or provide guarantees of any kind in connection with the share option scheme.

Following the grant of the share options, the total number of outstanding share options granted by Kaldalón to its employees amounts to 22,750,000 shares, corresponding to approximately 1.77% of the Company's share capital.

For further information, please contact:

Jón Þór Gunnarsson, CEO

jon.gunnarsson@kaldalon.is