November 29, 2013
Bushu Pharmaceuticals Ltd.

Execution of Business Transfer Agreement with Eisai Co., Ltd.
for the acquisition of business operations of Eisai Misato Plant

Bushu Pharmaceuticals, Ltd. (Head Office: Kawagoe-city, Saitama Prefecture, Japan;
hereinafter “Bushu”) is pleased to announce that today it has entered into a business transfer
agreement with Eisai Co., Ltd. (Head Office: Tokyo, Japan; hereinafter “Eisai”) in connection
with the acquisition of business operations of Misato Plant, one of Eisai’s manufacturing
facilities located in Saitama Prefecture, Japan.
1. Background and objective of acquisition
The pharmaceutical industry as a whole is undergoing major changes for improved operational
efficiency and business restructuring and reorganization. In response, a large number ofpharmaceutical companies are now focusing their capital/resources on their R&D and sales
activities, and are actively outsourcing production activities that require a large amount of fixed
costs to contract manufacturers. Particularly in manufacturing business for pharmaceuticals inJapan, the shift into outsourced manufacturing is notable since the amendments to thePharmaceutical Affairs Law became effective in 2005, and going forward, this trend is
expected to be more active on a global scale.
In such an environment, Bushu holds the No. 1 position among companies specializing in thecontract manufacture of pharmaceuticals and clinical trial materials. With its well-organizedcomprehensive manufacturing system for all stages of the product lifestyle from formulation
development, production of clinical trial materials to commercial production, Bushu has highquality control and assurance capabilities as qualified by GMP certifications from the threemajor pharmaceutical authorities of Japan, the United States and EU, which in turn has
contributed to the current strong, long-term relationship with pharmaceutical companies both atdomestic and overseas markets. Meanwhile, Eisai Misato Plant has, ever since it commenced
operations in 1981, been one of Eisai’s mainstay plants for solid and injection formulations fordomestic and overseas supply, and has developed high quality control standards andaccumulated a wealth of manufacturing know-how.
With the acquisition of Misato Plant, Bushu will be able to establish a two-plant structure with
its existing Kawagoe Plant. Together with Misato Plant, Bushu will be able to significantly
boost its production capacity of solid formulations from the current approx. 3.5 billion toapprox. 10 billion tablets, which will further enhance not only Bushu’s reliability ofpharmaceutical supply but also its business stability and expandability. The combined
production force of the two plants will further enhance Bushu’s R&D capabilities andaccelerate its growth strategies to become a Contract Development and Manufacturing

1Organization (CDMO), thereby further strengthening its contract manufacturing business forpharmaceuticals and clinical trial materials. Furthermore, with the acquisition of filling lines
for injectable in Misato Plant, Bushu will be able to provide one-stop services for the entire
continuum of pharmaceutical production process from solid to injectable dosage form, and as acomprehensive CDMO, it will be able to further secure new customers and to expand thebusiness. In addition, Bushu expects to further strengthen the business partnership with Eisai.
In this acquisition of business operations of Misato Plant, Bushu will transfer employees at
Misato Plant to Bushu if they wish to. Furthermore, Eisai products currently manufactured atMisato Plant excluding certain products will continue to be manufactured at Misato Plant
under a contract manufacturing agreement between Eisai and Bushu.
Bushu intends to continue to emphasize the manufacturing of pharmaceutical products as apioneer of contract manufacturing organization, and, as a company with a high raison d’être
depended on by global society, Bushu shall work to ensure it always remains the number one
choice.
2. Overview of Misato Plant
1) Plant name :Misato Plant

2) Location :950 Oaza-Hiroki, Misato, Kodama, Saitama Pre., Japan3) Site area :173,496 m2

4) Total floor area :58,316 m2

5) No. of employees :Approx. 210 (as of October 1, 2013)

6) Main products :Prescription drugs, capsules and injection formulations

7) Production volume :3.8 billion prescription drugs, 40 million injection formulations (Infiscal year ending March 31, 2013)

3. Schedule
1) November 29, 2013 :Execution of Business Transfer Agreement

2) March 31, 2014 :Completion of business transfer to Bushu (planned)

About Bushu Pharmaceuticals, Ltd.
Bushu Pharmaceuticals Ltd. was established in August 1998 as an independent pharmaceuticalcontract manufacturer. Bushu has a capital of 1 billion yen.
Bushu carries out contract manufacturing and packaging of clinical trials and commercial
products in accordance with latest GMP standards. Through the utilization of know-how and2

latest industry information, Bushu prides itself in being able to offer added value solutions tocustomers. For more information, refer to our website: http://www.bushu-seiyaku.co.jp/
Contact Details
Bushu Pharmaceuticals Ltd.
Contact Information: Hirofumi Takeuchi
Operating Officer & Division Manager
Administration Division
Phone:+81-(0)49-233-4651

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