Information on shares held by the Shionogi Group and the purpose of the shareholdings are described in “Part I Corporate Information, IV Status of Company, 4. Corporate Governance, (5) Shareholdings” of the Securities Report for the 156th Period (from April 1, 2020 to March 31, 2021).


For your information (in Japanese) : pages 53 to 56 of the Securities Report for the 156th Period (Fiscal Year Ended March 2021).

 

The English translation of the relevant pages is as follows;

 (5) [Status of Shareholding]

(i) Standards and approach toward classification of invested shares
The Group shall only hold shares of companies if management judges that holding the shares will increase the Group’s corporate value and contribute to the sustainable enhancement of corporate value from the two perspectives of economic rationale and strategic validity. Therefore, the Group does not hold shares for passive investment purposes.
 
(ii) Invested shares held for purposes other than passive investment
a.   Shareholding policy and method of verifying rationale of holding, and details of verification by Board of Directors, etc. concerning holding of individual shares
The management of the Group shall judge the appropriateness of holding from the perspectives of economic rationale and strategic validity. Each year, the Board of Directors conducts a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings.
b.   Number of stocks (issues) and balance sheet amount

 

No. of stocks

(Issues)

Total balance sheet amount

(Million yen)

Unlisted shares

41

7,587

Shares other than unlisted shares

19

43,061

(Stocks that increased in the number of shares during the fiscal year under review)

 

No. of stocks

(Issues)

Total purchase cost for the increase in shares

(Million yen)

Reason for the increase in shares

Unlisted shares

-

-

                                             -

Shares other than unlisted shares

-

-

                                             -

Note: In addition to the above table, there is a stock (unlisted stock) that has changed from shares of subsidiaries and associates to investment securities due to the decline in the investment ratio
(Stocks that decreased in the number of sharesduring the fiscal year under review) 

 

No. of stocks

(Issues)

Total purchase cost for the decrease in shares

(Million yen)

Unlisted shares

1

8

Shares other than unlisted shares

1

297

 
c.   Information on number of shares and balance sheet amount of specified investment shares and deemed holding shares

 

Specified investment shares
Stock

Fiscal year under review

Previous fiscal year Purpose of holding, quantitative effects of holding, and reason for the increase in shares Holding of Shionogi shares

No. of shares

No. of shares

Balance sheet amount

(Million yen)

Balance sheet amount

(Million yen)

Suzuken Co., Ltd.

3,256,696

3,256,696

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

14,085

12,815

Toho Holdings Co., Ltd.

3,500,112

3,500,112

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

7,105

7,934

Sumitomo Mitsui Financial Group, Inc.

1,643,810

1,643,810

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

6,586

4,311

StemRim Inc.

4,650,000

4,650,000

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

3,845

1,585

Medipal Holdings Corporation

 

 1,271,605 

                        1,271,605

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

2,700

2,566

Kissei Pharmaceutical Co., Ltd.

                          914,000                           914,000

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

 

2,239

                               2,541

AnGes, Inc.

1,186,800

1,186,800

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

1,267

820

Kaneka Corporation

266,600

266,600

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

1,213

690

Ono Pharmaceutical Co., Ltd.

344,095

344,095

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

994

855

OncoTherapy Science, Inc.

                       7,300,000                        7,300,000

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

897

452

FunPep Co., Ltd.

1,095,200

-

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In addition, the company was listed on December 25, 2020. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

519

-

Sumitomo Mitsui Trust Holdings, Inc.

105,210

105,210

The Shionogi Group holds shares in the company, which is one of the Group’s financial institution, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

406

328
Vital KSK Holdings, Inc.

475,000

475,000

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

374

521

HOKUYAKU TAKEYAMA Holdings, Inc.

367,530

367,530

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

Yes

277

261

Nomura Holdings, Inc.

424,568

424,568

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

246

194

Resona Holdings, Inc.

416,968

416,968

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

193

135

MS & AD Insurance Group Holdings, Inc.

21,811

21,811

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

70

65

Senshu Ikeda Holdings, Inc.

203,725

203,725

The Shionogi Group holds shares in the company, which is one of the Group’s financial institution, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

36

33

The Royal Hotel, Ltd.

654

654

The Shionogi Group holds shares in the company, which is one of the Group’s business partners, to maintain and enhance business relations. In May 2021, the Board of Directors conducted a comprehensive verification of the purpose, benefits and/or risks associated with holding, capital costs and other aspects regarding individual cross-shareholdings, and confirmed the economic rationale and strategic validity.

No

0

0

Alfresa Holdings Corporation

-

135,200

-

-

272
 
(iii) Invested shares held for passive investment purposes
Not applicable.
Of the unlisted shares not described above, the shares of ViiV Healthcare Ltd. (hereafter, “ViiV”), which Shionogi holds through its European subsidiary Shionogi B.V., were acquired following a revision of the agreement with ViiV in October 2012. In the framework that was agreed upon with ViiV, the Shionogi Group transferred its rights to the anti-HIV drugs that was being developed by the ViiV-Shionogi joint venture to ViiV in return for a 10 percent equity stake in ViiV. The Shionogi Group also retained rights to royalties at a fixed percentage of sales of the anti-HIV drugs. The Shionogi Group holds ViiV shares for the business purpose of participating in ViiV management as a  shareholder, including the right to designate a ViiV Board member, and contributing to the treatment of HIV patients and the prevention of the disease, as well as for the purpose of ensuring medium- to long-term revenues through dividend income from its shareholdings.