August 19, 2011
Nippon Electric Glass Co., Ltd.
Masayuki Arioka, President and Representative Director
Securities identification code: 5214
First Section of the Tokyo Stock Exchange
First Section of the Osaka Securities Exchange
Inquiries: Motoharu Matsumoto, Director and Senior Vice President
Notice Concerning Acquisition of Shares of NIPRO CORPORATION
Nippon Electric Glass Co., Ltd. (the “Company”) hereby announces that the Company has now become a major shareholder of NIPRO CORPORATION (“NIPRO”), holding approximately 10.40% of voting rights (6,583,200 shares) held by all the shareholders of NIPRO.
This release is issued to provide notification of the status of the Company’s shareholding in NIPRO and the purpose and background of the acquisition of shares, as shown below.
1. Status of the Company’s shareholding in NIPRO
•Subject shares: Common stock of NIPRO (Securities Identification Code: 8086; First section of the Tokyo Stock Exchange, First Section of the Osaka Securities Exchange)
•Number of shares held as of August 12, 2011: 6,583,200 shares
•Number of voting rights held as of August 12, 2011: 65,832 units
•Voting rights ratio to the voting rights held by all the shareholders as of August 12, 2011: 10.40% (Note)
(Note) This voting rights ratio is calculated based on the number of voting rights held by all the shareholders (633,192 units) as of March 31, 2011, stated in the quarterly report for the first quarter of the 59th business year, filed by NIPRO on August 12, 2011, and does not include potential shares from corporate bonds with stock acquisition rights.
2. Purpose and background of acquisition of shares in NIPRO
The Company supplies high-grade glass tubing for medical use mainly to the Japanese market, and today the Company covers 90% or more of domestic demand for glass tubing for medical use.
On the other hand, in emerging markets such as China and India, demand for advanced medical care is increasing in line with economic development, and this is expected to lead to expansion in the markets for glass tubing for medical use in those countries. In order to respond to this, the Company recently established a production facility for glass tubing for medical use at a subsidiary in Malaysia, and the facility started operations this summer.
The Company and NIPRO have continued to have a close business relationship over many years as a maker and a domestic sales distributor. Through its acquisition of shares of NIPRO, the Company intends to strive to make further improvements in corporate value and shareholder value by expanding global business proactively, while improving and developing the business relationship between the two companies in the field of glass tubing for medical use.