Nihon Kohden to acquire 100% ownership of joint venture Span Nihon Kohden Diagnostics

Nihon Kohden Corporation announced today that the Company and Nihon Kohden India, one of its subsidiaries, have reached a basic agreement with Span Diagnostics Ltd. (“SPAN”) to purchase SPAN’s 45% shareholding in its joint venture, Span Nihon Kohden Diagnostics Pvt. Ltd (“SNK”). SNK manufactures and provides hematology analyzer reagents in India.

1. Background and Purpose

Nihon Kohden and SPAN established the joint venture, SNK, in 2008. By increasing the installed base of hematology analyzers, SNK has enhanced its business structure through stable supply of locally produced reagents.
Demand for medical devices is expected to increase along with the improvement of healthcare services and economic growth in India. Nihon Kohden decided to acquire 100% ownership of SNK to address these expanding demands and ensure its freedom of management.
Nihon Kohden will continue to enhance and expand its overseas business through strengthening its local business structure and providing high quality medical devices.

2. Outline of SNK 

3. Effect on Operating Results of Nihon Kohden
This deal is subject to approval from the Foreign Investment Promotion Board in India. The effect of this deal on the consolidated results for the fiscal year ending March 31, 2016 would be minor.