Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

August 3, 2022

NEWS RELEASE
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TSUMURA & CO.
TSE Prime Market
4540
https://www.tsumura.co.jp
Terukazu Kato, President, Representative Director and CEO
Ritsuko Inukai, Head of Corporate Communications Dept.
+81-3-6361-7100

Tsumura Announces Signing of Letter of Intent Concerning
Establishment of Joint Venture with Jianmin Pharmaceutical Group Co., Ltd.
Tsumura & Co. (Headquarters: Tokyo, Japan; President Representative Director and CEO: Terukazu Kato; hereafter,“Tsumura”) announces that, at a meeting of its Board of Directors held on August 3, 2022, Tsumura passed aresolution on the signing of a letter of intent concerning the establishment of a joint venture between Ping An
Tsumura Inc. (hereinafter “Ping An Tsumura”), which is a Tsumura Group company in China, and Jianmin
Pharmaceutical Group Co. Ltd. (hereinafter “Jianmin Group”).
Ping An Tsumura and Jianmin Group had been holding negotiations about the establishment of a joint venture(investment ratios: Ping An Tsumura 51% and Jianmin Group 49%) for the purpose of manufacturing and sellingtraditional Chinese medicinal products in China and have now decided to sign a letter of intent.
This letter of intent indicates a shared commitment on the part of Ping An Tsumura and Jianmin Group to holddiscussions with each other on a more concrete partnership.
Tsumura will disclose information once again when the parties decide to conclude an agreement.
1. Letter of intent signatories- Ping An Tsumura Inc.
- Jianmin Pharmaceutical Group Co., Ltd.
(Jianmin Group Yekaitai Traditional Chinese Medicine (Suizhou) Co., Ltd. (wholly owned subsidiary of JianminGroup))
2. Date of signing of letter of intent
August 3, 2022

3. Outline of signatories to the letter of intent[Ping An Tsumura Inc.](1) Name of company
Ping An Tsumura Inc.
(2) Location
Shanghai, China(3) Representative
Tung Hoi, Chairman(4) Business description
Business related to strengthening the crude drug procurement structure, business
related to analysis and research focusing on traditional Chinese medicines, andbusiness related to traditional Chinese medicines, health food and healthcare-related
daily necessities and other operations and markets, etc.
(5) Capital
2,000 million RMB(6) Date of foundation
June 8, 2018(7) Major shareholder
Tsumura China Inc.: 56%
and stockholding
China Ping An Life Insurance Co., Ltd.: 44%[Jianmin Phermaceutical Group Co., Ltd.](1) Name of company
Jianmin Phermaceutical Group Co., Ltd.
(2) Location
Wuhan, Hubei(3) Representative
He Qin(4) Business description
Licensed activities:
Production of pharmaceuticals, import and export of pharmaceuticals, productionof beverages, production of food products, sale of food products, production ofhealth food, import and export of cargo, import and export of technology,
traditional Chinese medicine decoction service, production of food for special
medicinal purposes, import and export agency service, production of infant
formula.
General activities:
Pharmaceutical contract manufacturing services, sale of health food (prepackaged), sale of food for special medicinal purposes, development of medical
research and experiments, technology services, technology development,technology consulting, technology exchange, technology transfer, promotion oftechnology, sale of daily necessities, wholesale of cosmetics, retail of cosmetics,
sale of plastic products, sale of construction materials, development of process andtechnology research and experiments.
(5) Capital
153,398,600 RMB(6) Date of foundation
May 28, 1993
(7) Major shareholder
Huali Medical Collection Co., Ltd.: 24.13%
and stockholding
China Construction Bank Co., Ltd. - ICBC Credit Suisse Frontier Medical Equity
Securities Investment Fund: 3.72%
Wah Lee Industrial Corp.: 3.32%
Sun Huiming: 3.02%
China Taiping Insurance Group Ltd.: 1.65%
Yang Yanyi: 1.35%
Bank of China Limited- ICBC Credit Suisse Healthcare Industry Equity Securities
Investment Fund: 1.16%
Taikang Life Insurance Co., Ltd. - investment - industry configuration: 1.16%
National social security fund 115 combination: 0.98%
Basic endowment insurance fund 1240 combination: 0.96%
4. Future outlook
Tsumura plans to disclose information on the impact on its consolidated results in the fiscal year ending March 31,
2023 once a decision on the conclusion of an agreement is reached.