New Pharmaceutical Production and Distribution Model through a Capital and Business Alliance with Nichi-Iko Pharmaceutical Co., Ltd.

「The Company determined that cooperating with 株式会社ジェイ・ウィル・パートナーズ (Chiyoda-ku, Tokyo; hereinafter, “JWP”) in its support for the restructuring of 日医工株式会社 (Toyama City, Toyama) would help realize a pharmaceutical production and distribution model capable of stably supplying safe and reliable generic pharmaceuticals and contribute to the sustainable enhancement of the Company’s corporate value. In March 2023, the Company therefore made a silent partnership investment jointly with the JWP Fund, a fund managed and operated by JWP, in 合同会社ジェイ・エス・ディー (Shinjuku-ku, Tokyo), which is managed and operated by JWP.」

「In November 2022, the Company decided to make a silent partnership investment jointly with an investment fund managed and operated by 株式会社ジェイ・ウィル・パートナーズ in 合同会社ジェイ・エス・ディー (JSD), which was considering a total investment of ¥20 billion in 日医工株式会社 (Toyama City, Toyama). Since entering into a capital and business alliance agreement with 日医工 in August 2021, the Company has advanced its business alliance with the company. The Company decided to invest because further cooperation with 日医工 was considered important to establish a stable and efficient supply system for generic pharmaceuticals and realize a pharmaceutical production and distribution model that would enable reductions in national medical expenditure and the realization of a sustainable society. The Company’s investment ratio in JSD is 20%, with the investment scheduled for around March.」

「To reinforce this initiative, the Company subscribed to a third-party allocation of shares by 日医工, resulting in a 9.9% shareholding. By linking the Company’s pharmaceutical distribution infrastructure with 日医工’s pharmaceutical manufacturing and marketing infrastructure, we will establish a system to deliver safe generic pharmaceuticals to the public and realize a new pharmaceutical production and distribution model.」