Otsuka Pharmaceutical Factory and ICU Medical Announce the Establishment of Joint Venture

Otsuka Pharmaceutical Factory America, Inc. (Head office：Schaumburg, Illinois; President and Representative Director: Shuichi Takagi; "OPFA"), the US subsidiary of Otsuka Pharmaceutical Factory, Inc. (Head office: Naruto, Tokushima; President and Representative Director: Shuichi Takagi; "OPF"), and ICU Medical, Inc. (Head office: San Clemente, CA; Chairman of the Board and CEO : Vivek Jain; "ICU Medical") have agreed to the capital participation of OPFA in the IV solution company newly established by the joint venture between Otsuka Pharmaceutical Factory and ICU Medical. The agreement was signed in Japan November 12, 2024.

ICU Medical is involved in the development, manufacture and sale of innovative medical products in infusion therapy, vascular access and vital care applications, and has one of the largest manufacturing plants of basic IV solutions in North America. ICU Medical will transfer its IV solution business to the newly established company. The new company will begin operations in early Q2 2025. OPFA will obtain 60% shares of the new company, which will then become a subsidiary of OPFA, inaugurating OPFA's foray into the North American IV solution business.

The North American IV solution market is one of the world's largest and is growing annually. Currently, the US is experiencing a temporary shortage of IV solutions caused by Hurricane Helene. The formation of the new joint venture company, which combines Japan's largest IV solution manufacturer OPF and ICU Medical, a major North American comprehensive IV solutions corporation, will not only help strengthen and stabilize the IV solution supply chain in North America, but will also accelerate the technological innovation of IV solution products.

OPF will strive to consistently provide safe and high-quality IV solution products that will contribute to the health of people in North America and worldwide. Based on the corporate philosophy "Otsuka-people creating new products for better health worldwide", OPF will continue to contribute to the health of people around the world by actively pursuing global business expansion.

[Comments from company representatives]

Vivek Jain, Chairman of the Board and CEO, ICU Medical, Inc.

"Otsuka's scale, experience with U.S. partnerships, and demonstrated long-term investment horizon made them the ideal partner. Their financial strength and dedication to portfolio expansion will provide the stability and choice the North American market needs. Through this joint venture, we're committed to delivering clinical and economic value for ICU Medical stakeholders and giving this critical product category the innovation and attention it deserves."

Shuichi Takagi, President and Representative Director, Otsuka Pharmaceutical Factory, Inc.

"Entering the North American market has always been part of our long-term ambition and this joint venture with ICU Medical is the perfect way to accomplish that. It will allow us to bring our products based on innovative technologies to a market with an established customer base."