Investor Relations

Pharmaceuticals Business

Kazuto Koizumi Member of the Board Managing Director
Head of the Pharmaceuticals Group

Business Vision

We are committed to promoting innovations by using our technological expertise. It is our goal to contribute to society by consistently supplying high-quality pharmaceuticals to improve patient outcomes, and to achieve more efficient medical spending.

Mid-term Business Strategy

Continue to grow with Speciality,
Biosimilar and Generic pharmaceuticals as our core areas.

Business Profile

The pharmaceuticals business has expanded operations by focusing on anti-cancer drugs and cancer-related agents since the launch of BLEO™ in 1969. We have the largest lineup of cancer related products, including generic drugs, among Japanese pharmaceutical companies, and we are providing these products as well as highly reliable information on the cancer field to medical institutions. While moving forward with development of polymeric micelle anti-cancer drugs, which utilize nanotechnology, we have also been promptly working on the development of biosimilars. As early as 2014, we launched Japan’s first monoclonal antibody biosimilar. Through these activities, we are contributing to society by realizing improvements in patient outcomes and more efficient medical spending.

Pharmaceuticals Business

Business Environments and Future Outlook

In the pharmaceuticals business that safeguards life and health, we provide a stable supply of anti-cancer drugs that form the basis of therapy, as a company that contributes to cancer therapy, and contribute to lowering the cost of medical treatment with generic anti-cancer drugs and biosimilars. By doing so, we will realize the KAYAKU spirit, in which the founding spirit of “for the world and for people” is handed down, and grow as a company that meets the needs of society. Due to aging society and appearance of expensive drugs, national healthcare and social security costs soar in Japan. Consequently, maintaining the globally recognized national health insurance system is a social need. Our goals are to expand our lineup of anti-cancer drugs, which are basic components of cancer treatment, and provide a stable supply of high-quality generic anti-cancer drugs. We will also help patients by using polymeric micelle technologies to improve the efficiency and reduce the side effects of existing anti-cancer drugs. Generic drugs are essential to more efficient control of healthcare costs. We will contribute to society through growth in biosimilars as biomedicines become even more expensive.

Key Themes in Mid-term Business Plan

Theme Details of initiatives
Establishing safety and quality management systems
  • Continuously operate a quality assurance system that is uniform to the Pharmaceuticals Group and strengthen response capabilities to maintain stable operations
Strengthening research and development
  • Pharmaceuticals Group unites to create new products that match medical needs in our areas of technical expertise and fields of specialty
Creating and providing intellectual added value
  • Establish Cultivecs business platform, an R&D structure at a pharmaceuticals research laboratories, and manufacturing equipment at the Takasaki Plant to enable domestic bio manufacturing
Strengthening the business through internal and external partnerships
  • Expand pipeline by pursuing synergy in product launches, engaging in business alliances, and conducting M&A
  • Expand export and contracted production business for the Specialty Chemicals, International & IVD Division
Building a strong business base capable of supporting growth
  • Practice compliance and adhere to regulations to improve our presence as a company contributing to cancer treatment and to distinguish ourselves from our competitors.
  • Use management resources effectively to create a corporate structure capable of adapting to changes in the pharmaceutical industry
  • Promote the transfer of technology and knowledge, and foster the development of the next generation of human resources to strengthen our R&D, manufacturing, and sales structures

Disseminate biosimilars and work toward domestic production

As the market for biopharmaceuticals grows in recent years, rising medical costs has become a social issue with Japan’s reliance on imports for many of these drugs, as well as the high prices attributable to the large cost of production and development.
 The Nippon Kayaku Group took early action in spreading biosimilars to hold down prices and to provide a steady supply through the domestic production of biopharmaceuticals, including biosimilars. To further spread the use of biosimilars, we put our third such drug on the market, TRASTUZUMAB BS (jointly developed with Celltrion Inc. of South Korea), in August 2018. In addition, Cultivecs Inc., a joint venture between the Nippon Kayaku Group and Mitsubishi Gas Chemical Co., Inc. (stakes of 45% and 55%, respectively), completed a plant in Niigata in February 2018 to stimulate domestic production. The plant is outfitted with production equipment compatible with three regions: Japan, America and Europe. In the future, we aim to build up technology and expand business globally as we proactively roll out domestic production of biopharmaceuticals, including biosimilars.

Niigata plant, Cultivecs Inc.

Pharmaceutical Approvals Obtained (as of May 31, 2019)

New drugs launched

TRASTUZUMAB BS

Drugs approved for additional indications * Public knowledge-based application

OXALIPLATIN

LEVOFOLINATE

TEMOZOLOMIDE

Approval obtained for manufacture and sale

GEFITINIB

Status of Drug Development (as of May 31, 2019)

Drugs launched

Biomedicines

Drugs currently in clinical trials

Biosimilars

Anti-cancer drugs

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