FOR IMMEDIATE RELEASE

Hitachi and Axcelead have agreed to start joint development ofsolutions contributing on more efficient creation of next-generation
biopharmaceuticals
Supporting R&D optimization of next-generation biopharmaceuticals with digitaltechnology and drug discovery platform
Tokyo, April 7, 2021 --- Hitachi, Ltd. (TSE:6501, "Hitachi") and Axcelead, Inc.
(President: Tomoyuki Fujisawa, “Axcelead”) today announced that they have agreed
on a comprehensive collaborative partnership to develop solutions contributing onmore efficient creation of next-generation biopharmaceuticals with digital technology
and drug discovery platform. Hitachi has also made investment to Drug Discovery
Gateway Fund (“DDG Fund”) managed by Whiz Partners Inc. (President: Atsushi
Matsumura, “Whiz”). Axcelead is the flagship portfolio company of DDG Fund.
With continuous progress of life science, practical applications of next-generation
biopharmaceuticals with new therapeutics modalities*1 demonstrating better balanceof efficacy and side-effect, such as genes-, cell-, and mRNA*2- therapeutics, have beenrecognized. Those new drug discovery modalities are also contributing to the speedy
and variety development of vaccines and therapeutics for COVID-19.
On the other hand, next-generation biopharmaceuticals are more expensive to develop
and manufacture than low-molecular-weight pharmaceuticals, and due to their nature,
the product stability and effective period and product life are shorter, and it would bebetter to develop and manufacture products with small quantity and high variety.
Manufacturing costs and risks tend to be high.
Through this collaboration, Hitachi and Axcelead will develop solutions that support themore efficient creation of next-generation biopharmaceuticals with digital technology
and drug discovery platforms, and also support entities that participate in this field. Inaddition, the both companies will jointly promote the development of specialized
human resources who are familiar with the development and manufacturing of nextgeneration biopharmaceuticals.
Hitachi, with over 100 years deep experience in manufacturing industry, has provided
many companies with variety of solutions utilizing Lumada, which accelerates digital
innovation by combining OT, IT, and products. In the field of regenerative medicine,
Hitachi provides automated cell culture equipment for iPS cells, cell processing
facilities, manufacturing execution systems, biosafety cabinets, etc., to pharmaceuticalcompanies and research institutes according to customer needs.
Axcelead is a drug desicovery platform company group, having its core company,- more -- 2 -

Axcelead Drug Discovery Partners, Inc. (“ADDP”), which took over the drug discovery
platform business of Takeda Pharmaceutical Co., Ltd. (“Takeda”) and started Japan's
first integrated drug discovery solution provider business in 2017. With the investmentsfrom DDG Fund, Axcelead sees the horizontal division of labor of pharmaceuticalcompanies as a business opportunity, and has desided to entered the mRNA
therapeutics CDMO*3 busienss, DDS*4 technology development business, and drug
development business. Axcelead by themselves are going to build ecosystem in thisfield.
Hitachi and Axcelead aim to contribute to improving QoL (Quality of Life) for humanthrough medical innovation with next-generation biopharmaceuticals.
*1 Therapeutics modality: A general term for the mechanism of action, materials, and treatment methods of drugs.
*2 mRNA: Abbreviation for messenger RNA, a blueprint for making proteins. It is made from DNA in the cell's nucleus and isdegraded shortly after it is used to make proteins.
*3 CDMO (Contract Development Manufacturing Organization): A pharmaceutical contract manufacturing and development
organization that is entrusted by a customer and makes into practice on behalf of, which are not only pharmaceuticalmanufacturing but also development.
*4 DDS (Drug Delivery System): A technology aimed at maximizing the effects of drugs and minimizing side effects by controllingthe distribution of drugs in the body.

About Hitachi, Ltd.
Hitachi, Ltd. (TSE: 6501), headquartered in Tokyo, Japan, is focused on its Social
Innovation Business that combines information technology (IT), operational technology(OT) and products. The company’s consolidated revenues for fiscal year 2019 (endedMarch 31, 2020) totaled 8,767.2 billion yen ($80.4 billion), and it employedapproximately 301,000 people worldwide. Hitachi drives digital innovation across fivesectors – Mobility, Smart Life, Industry, Energy and IT – through Lumada, Hitachi'sadvanced digital solutions, services, and technologies for turning data into insights todrive digital innovation. Its purpose is to deliver solutions that increase social,environmental and economic value for its customers. For more information on Hitachi,
please visit the company's website at https://www.hitachi.com.
About Axcelead, Inc.
Axcelead is a group of companies that develops a drug discovery platform businesscentered on ADDP, Japan's first integrated drug discovery solution provider, which took
over Takeda's drug discovery platform business in 2017. Axcelead, is the flagshipportfolio company of DDG Fund, which was jointly established by Whiz and Takeda in2018, with the aim of promoting the drug discovery ecosystem in Japan, and will makevarious contributions to healthcare broadly and globally.
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