Acquisition of FIMECS by RaQualia Pharma
Kanagawa and Nagoya, Japan, February 14, 2024 – FIMECS, Inc. (“FIMECS”), a private
biotechnology company creating a new class of drugs based on targeted protein degradation, andRaQualia Pharma, Inc. (“RaQualia Pharma”), a research and development-based biotechnology
company listed on Tokyo Stock Exchange (security code: 4579), today announced that FIMECS andFIMECS’ shareholders accepted the proposal of acquisition by RaQualia Pharma, and that RaQualia
Pharma, FIMECS and FIMECS’ shareholders have executed Stock Purchase Agreement (“SPA”). Asa result of the acquisition, FIMECS will become a wholly owned consolidated subsidiary of RaQualia
Pharma.
Under the term of SPA, FIMECS’ shareholders will receive a 4.5B JPY upfront payment, in addition
to earnout payments based on the predetermined rate of annual FIMECS’ sales in each of the fiscal
years 2024 through 2028.
“We are pleased that our RaPPIDSTM platform has been highly praised. We expect that the strong
synergies from joining the RaQualia Pharma group will enable us to dramatically accelerate our drug
discovery.” said Yusuke Tominari, Ph.D., Co-Founder, CEO of FIMECS. “We really appreciate ourshareholders for their strong and continuous support. We will continue to drive our drug discovery bothinternal and collaborative research to address a wide range of drug targets and unmet medical needs,
then provide life-saving drugs for patients and their families around the world.”“We are very pleased to be collaborating with RaQualia Pharma to increase the value of our platform
and pipelines by leveraging both expertise. Together with RaQualia Pharma’s existing strengths, wewill be able to unlock undruggable targets and generate innovative degrader compounds for the benefitof patients and their families.” said Kanae Gamo, Ph.D., Co-Founder, CSO of FIMECS.
“We are thrilled to announce that we have entered into SPA with FIMECS, a leading platformer fortargeted proteolysis-inducing drugs. The acquisition of private biotechnology companies by listed
biotechnology companies is a long-awaited event in the Japanese biotech ecosystem, and we arehonored to have the opportunity to serve as a role model. This acquisition will allow us to leverage anew modality that has the potential to create breakthrough therapeutics to meet unmet medical needs.
FIMECS is an outstanding biotech that has built a strong network with leading companies worldwide
and has a proven track record of contracts in this area. By respecting each other’s strengths, we will
deliver new medications for patients and their families suffering from diseases with limited treatment
options. And we will realize our mission: “We brighten people’s lives through the power ofinnovation” ” said Hirobumi Takeuchi, President and CEO of RaQualia Pharma.
The acquisition is expected to close on March 26, 2024, subject to the completion of all necessary
procedures.

About FIMECS, Inc.
FIMECS, Inc. is developing a new class of drugs based on targeted protein degradation for the currently‘undruggable’ targets in immuno-oncology and oncology areas. The company became able to discover drugcandidates for inducing the degradation of disease-relevant targeted proteins by integrating proprietary E3 ligase
binders and RaPPIDSTM platform. This drug discovery platform will help providing drugs to the patients allover the world through various internal and collaboration projects. https://www.fimecs.com/eng/

About RaPPIDSTM
RaPPIDSTM (Rapid Protein Proteolysis Inducer Discovery System) is one of the proprietary drug discovery
platforms of FIMECS, Inc. used to generate therapeutic candidates of the targeted protein degrader. The platform
allows synthesizing and evaluating various degraders quickly based on the company’s proprietary know-how
and diversity-oriented synthesis, and delivery of the drug candidates with the best combination of target proteinbinders, linkers, and E3 ligase binders. Moreover, RaPPIDSTM platform enables the discovery of novel E3 ligase
binders, which is expected to dramatically expand the range of target proteins that can be degraded.

About RaQualia Pharma, Inc.
RaQualia Pharma’s mission is “We brighten people’s lives through the power of innovation”, and we strive todeliver new medications to those suffering from diseases where no effective treatment options exist or existingtreatment methods are insufficient. Guided by this philosophy, we are dedicated to the research anddevelopment of new medications not only within our own company but also through establishing a nextgeneration drug discovery value chain by strengthening partnerships with academia, start-ups, and venturecompanies. We, as professionals in drug discovery, are focusing on research and development efforts with aprimary focus on patients. We pursue our science to create innovative first-in-class therapeutic medications.

https://www.raqualia.com/en/index.html###FIMECS, Inc. Media and Investor Contact:
FIMECS, Inc.
26-1, Muraoka-Higashi 2-chome, Fujisawa, Kanagawa 251-0012, Japan
Tel: +81-466-96-0261
Email: info@fimecs.com
RaQualia Pharma, Inc. Media and Investor Contact:
RaQualia Pharma, Inc.
8F Meieki Southside Square, 1-21-19 Meieki Minami Nakamura-ku, Nagoya 450-0003, Japan
Tel: +81-446-6100
Email: ask@raqualia.com