Creating New Businesses in Global Niche Markets

「We recognize that calcified lesions, which are currently considered difficult to treat, remain a clinical challenge in both the cardiovascular and non-cardiovascular fields, including peripheral applications.」

「We had been jointly developing products with マグネデザイン株式会社 together with 株式会社マグネア. During the consolidated fiscal year, however, we revised the sales and development plans. In light of the future business environment and business plan, we determined that recovery of the investment was no longer expected due to lower profitability and other factors, and therefore recognized an impairment loss on other investments and other assets.」

「As part of its strategic product expansion, the company aims to enter the high-value-added therapeutic products field.」

「② Creating new businesses in global niche markets」

「As initiatives toward achieving this, during the first nine months of the fiscal year, the company (1) entered into a basic agreement toward exclusive distribution in Japan of Penumbra Inc.'s thrombectomy devices for peripheral vessels, (2) entered into an exclusive distribution agreement in China for DK MEDTECH (Suzhou) Co., Ltd.'s DK Score coronary scoring balloon catheter, (3) acquired shares in Lake R&D Co., Ltd., (4) decided to establish Magnea Co., Ltd. to manufacture and sell GSR sensors, primarily for medical applications, (5) published the group's first Integrated Report 2022, and took other measures.」

「As initiatives toward achieving this, during the first six months of the fiscal year, the company entered into (1) a basic agreement toward exclusive distribution in Japan of Penumbra Inc.'s thrombectomy devices for peripheral vessels, (2) an exclusive distribution agreement in China for DK MEDTECH (Suzhou) Co., Ltd.'s DK Score coronary scoring balloon catheter, (3) publication of the group's first Integrated Report 2022, and (4) a transfer agreement relating to the acquisition of shares in Lake R&D Co., Ltd., making it a non-consolidated subsidiary.」

「As measures toward achieving this, during the three months ended the first quarter, we entered into ① a basic agreement for the exclusive distribution in Japan of Penumbra Inc.’s (U.S.) thrombus aspiration devices for peripheral vessels, ② an exclusive distribution agreement in China for DK MEDTECH (Suzhou) Co., Ltd.’s “DK Score coronary scoring balloon dilatation catheter,” and ③ issued the Group’s first “Integrated Report 2022.”」

「As initiatives toward achieving this, during the fiscal year, the company (1) acquired 4 companies in July 2021: A-Traction Co., Ltd. (Japan: to promote robotics; renamed Asahi Surgical Robotics Co., Ltd. on 1 August 2021), KARDIA S.R.L. (Italy: a local distributor to promote the transition to direct sales), Pathways Medical Corporation (US: to acquire surface thin-film wiring technology) and Rev.1 Engineering, Inc. (a design and development support company to strengthen ODM and OEM), (2) entered into a US sales partnership agreement for KANEKA CORPORATION's new cerebral aneurysm embolisation coils, (3) completed the transition to the Prime Market, (4) opened the Tokyo Training Center to provide training opportunities for operating next-generation surgical support robots, (5) resolved to transfer its ODM and OEM business in the medical device field to its wholly owned consolidated subsidiary フィルメック株式会社, (6) established the joint venture walkey Co., Ltd. to operate a walking training services business, and (7) entered into an exclusive domestic distribution agreement with OLYMPUS CORPORATION for Tornus ES, an endoscopic treatment dilator for biliary and pancreatic procedures developed by the group.」

「The company resolved to transfer its ODM and OEM business in the medical device field to its wholly owned consolidated subsidiary フィルメック株式会社 to promote the business proactively.」

「As initiatives toward achieving this, during the first six months of the fiscal year, the company (1) acquired 4 companies in July 2021: A-Traction Co., Ltd. (Japan: to promote robotics; renamed Asahi Surgical Robotics Co., Ltd. on 1 August 2021), KARDIA S.R.L. (Italy: a local distributor to promote the transition to direct sales), Pathways Medical Corporation (US: to acquire surface thin-film wiring technology) and Rev1. Engineering, Inc. (US: a design and development support company to strengthen OEM and ODM), and (2) entered into a sales partnership agreement in the US for KANEKA CORPORATION's new cerebral aneurysm embolisation coils.」

「As initiatives toward achieving this, during the first three months of the fiscal year, the company (1) acquired 4 companies in July 2021: A-Traction Co., Ltd. (Japan: to promote robotics; renamed Asahi Surgical Robotics Co., Ltd. on 1 August 2021), KARDIA S.R.L. (Italy: a local distributor to promote the transition to direct sales), Pathways Medical Corporation (US: to acquire surface thin-film wiring technology) and Rev.1 Engineering, Inc. (a design and development support company to strengthen OEM and ODM), (2) entered into a sales partnership agreement in the US for KANEKA CORPORATION's new cerebral aneurysm embolisation coils, and (3) resolved to select the Prime Market.」

「As initiatives toward achieving this, during the fiscal year, the company (1) promoted expansion of the regions and fields covered by direct sales to strengthen sales and marketing activities, (2) opened a new building at the Osaka R&D Center to expand basic technology research, (3) decided to acquire A-Traction Co., Ltd., KARDIA S.R.L., Pathways Medical Corporation and Rev.1 Engineering, Inc. in July 2021, (4) decided to open the Tokyo R&D Center and construct new buildings at the global headquarters and R&D center and the Tohoku R&D Center to strengthen R&D functions, and (5) carried out equity financing through the issuance of stock acquisition rights to raise funds for M&A and capital investment.」

「As initiatives toward achieving this, during the first nine months of the fiscal year, the company (1) began direct sales of cardiovascular products in South Korea in July 2020 to strengthen sales and marketing activities, (2) began direct sales of cerebrovascular products in the US in January 2021, (3) began direct sales in Germany in January 2021, (4) decided to begin direct sales of certain gastrointestinal guidewires in Japan in late July 2021, (5) began construction of a new building at the Osaka R&D Center to expand basic technology research, (6) decided to acquire A-Traction Co., Ltd. in July 2021 to promote robotics, and (7) published a sustainability report organising initiatives addressing material sustainability issues for society and the company from both growth strategy and management foundation enhancement perspectives.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「The company aims to enter new fields such as gastroenterology, robotics and cerebrovascular care by strengthening its advanced technological capabilities. Where integration with new technologies is required, it also plans to pursue strategic alliances with leading partners, including through more proactive use of technology partnerships, M&A and minority investments, as well as the introduction of new technologies from outside the group.」

「As measures toward achieving this, during the nine months ended the third quarter, we began direct sales of our core PTCA guidewires in the U.S. market; acquired shares in U.S.-based RetroVascular, Inc. (Note), which has plasma energy technology, making it a sub-subsidiary; acquired all shares of フィカス株式会社, a company certified for Type A continuous employment support, making it a non-consolidated subsidiary after the acquisition; completed construction of the Global Headquarters and R&D Center and relocated the head office to enhance research and development functions; entered into an exclusive distribution agreement for cerebrovascular products in the U.S. market; entered into a basic agreement concerning endoscopic devices for biliopancreatic procedures; and established a branch in France and decided to shift to direct sales, thereby further reinforcing the Group’s strengths.」

「The company aims to create new businesses in global niche markets by continuing to invest in future growth, thereby strengthening its presence in global niche markets and further enhancing corporate value.」

「As initiatives toward achieving this, during the first three months of the fiscal year, the company began direct sales of its flagship PTCA guidewires in the US, acquired shares in US-based RetroVascular, Inc., which has plasma energy technology, making it a sub-subsidiary, and acquired all shares in Ficus Co., Ltd., certified as an employment continuation support provider (Type A), making it a non-consolidated subsidiary after the acquisition, among other measures. These efforts further reinforced the group's strengths.」

「The company aims to enter new fields by strengthening its advanced technological capabilities. Where integration with new technologies is required, it also plans to pursue strategic alliances with leading partners, including through more proactive use of technology partnerships, M&A and minority investments, as well as the introduction of new technologies from outside the group.」