International Cement Group Ltd. Responds to SGX Query on Board Diversity Policy

Key Highlights from the SGX-ST Query Response

• Board Diversity Policy Framework: The Company has established a written Board Diversity Policy, which outlines the framework for promoting diversity within its Board of Directors. This policy aims to ensure the Board benefits from a wide talent pool and a culture of inclusivity.
• Criteria Considered for Board Diversity: The Nominating Committee (NC) reviews Board composition and succession planning, considering multiple dimensions of diversity:
  • Gender
  • Age
  • Nationality
  • Ethnicity
  • Cultural background
  • Education background
  • Experience
  • Skills
  • Knowledge
  • Independence
  • Length of service
• Merit-Based Approach: All Board appointments and re-appointments are assessed based on meritocracy, with candidates evaluated against objective criteria. Diversity is prioritized, but merit remains fundamental to the selection process.
• Non-Discrimination Commitment: No candidate is excluded due to disability, gender, sexual orientation, age, race, ethnicity, religion, or any other potential factor of difference. External search consultants, if engaged, are instructed to adhere strictly to the Company’s Board Diversity Policy.
• Annual Review of Board Composition: The NC conducts an annual review of board composition to ensure its attributes and core competencies maintain or enhance the balance and diversity of the Board, which supports its efficacy.
• Current Board Composition: The Board is currently comprised of Directors with diverse backgrounds, extensive industry knowledge, and experience in business, legal, financial, accounting, management, and strategic planning. This diversity is believed to prevent groupthink and foster constructive debate.
• Alignment with Diversity Targets: The Board considers the current composition to be in line with the targets set out in its Diversity Policy, as stated in the 2025 Annual Report.
• Commitment to Ongoing Diversity: While diversity is important, the Company emphasizes that merit-based selection remains fundamental. The Board is committed to continually examining its size and diversity, and remains mindful of diversity targets in its search and selection process for new candidates.

Shareholder Considerations and Price Sensitivity

• Board Diversity and Effectiveness: The Company’s proactive approach to Board diversity may enhance governance and mitigate risks associated with groupthink or lack of independence. This can be viewed positively by investors seeking robust corporate governance.
• Potential Impact on Share Value: While no specific timeline or quotas for diversity targets were disclosed, the Board’s commitment to ongoing annual review and alignment with policy targets signals stability and responsiveness to evolving governance standards, which may be relevant to institutional investors and could potentially influence share valuation.
• Meritocracy and Non-Discrimination: The explicit policy of non-discrimination and merit-based appointments may reassure investors that the Company is focused on selecting the most qualified individuals, thereby supporting long-term value creation and reducing risks of reputational or regulatory issues.
• No Immediate Changes or Appointments Announced: Investors should note that the response does not announce any imminent changes to the Board or new appointments, nor does it set specific quotas or deadlines for diversity targets.

Conclusion

International Cement Group Ltd.’s response to the SGX-ST query demonstrates a clear and structured commitment to Board diversity, meritocracy, and effective governance. While there are no immediate changes or appointments that would directly impact share price, the Company’s policies and annual review process may contribute to investor confidence in its governance standards. Shareholders should remain attentive to future disclosures regarding Board changes or diversity-related developments, as these could become price-sensitive in the context of the Company’s ongoing commitment to diversity.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation. Investors should make their own decisions based on their individual circumstances and consult a qualified financial advisor if necessary.

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