Nissha Co., Ltd. (“the Company”) hereby announces that the share acquisition of USM HEALTHCARE MEDICAL DEVICES FACTORY JOINT STOCK COMPANY (“USM Healthcare”) has been completed, making it a subsidiary dated as of May 20, 2026, in accordance with the “Notice Regarding Acquisition of Shares of USM HEALTHCARE MEDICAL DEVICES FACTORY JOINT STOCK COMPANY, a Medical Devices Manufacturer in Vietnam, and Making It a Subsidiary” previously disclosed dated as of January 23, 2026.

The Company has positioned the medical market as one of its priority markets and is working to achieve business expansion through company-wide efforts, with the Company having set its sights on the areas of medical devices, pharmaceuticals, and healthcare products.

USM Healthcare manufactures and sells products such as stents used in cardiology (devices used in catheter-based treatments that are minimally invasive) and devices used in orthopedics. It has a vertically integrated system in place which encompasses processes spanning from product design and development to regulatory approval, manufacturing, and sales, giving the company a competitive edge in terms of pricing. As Vietnam’s only domestic manufacturer in the stent field, it has continued to grow in recent years on the back of preferential policies aimed at domestic medical devices in Vietnam, and further expansion is expected going forward. Drawing on this vertically integrated system, USM Healthcare also provides contract design/development and manufacturing organization (CDMO) for medical device manufacturers.

The medical devices market in Southeast Asia, including Vietnam, is rapidly expanding against the backdrop of economic development and improved standards of medical care. With a focus on the US, the Company has previously aimed to expand its business regarding CDMO for medical devices. Through this acquisition, the Company has newly acquired a business platform for medical device manufacturing in Southeast Asia. Taking full advantage of the Nissha Group’s customer bases in the US and Japan, the Group’s knowledge on design, development and manufacturing in relation to CDMO for medical devices, as well as its quality management, the Company will proceed with strengthening the existing businesses of USM Healthcare and making them more efficient while also promoting the geographic expansion of CDMO for medical devices in Southeast Asia.

The impact of this acquisition on the Company’s consolidated business results for FY2026 has already been incorporated into the consolidated business forecast announced in the "Consolidated Financial Results for the Three Months Ended March 31, 2026 [IFRS]" dated May 12, 2026, and there is no change to the business forecast for the current fiscal year.