Fujifilm to buy Merck Biomanufacturing Network

Fujifilm Corporation is set to buy two biopharmaceutical contract manufacturers from US pharmaceutical firm for around JPY40bn (US$490m), expanding its position in the healthcare sector.

The Japanese film and camera manufacturer said it would acquire all shares in two Merck subsidiaries, Diosynth, based in Research Triangle Park, North Carolina, US and MSD Biologics in Billingham, UK, which together comprise the Merck BioManufacturing Network.

As part of the agreement Merck MSD has committed to certain continued development and manufacturing activities with these two companies.

Shigetaka Komori, president and chief executive of Fujifilm Corporation said the acquisition ‘provides an important addition to our pharmaceutical business with diverse capabilities and technical expertise in production of protein therapeutics’.

Fujifilm Corporation is one of the major operating companies of Fujifilm Holdings and since it was founded in 1934, has built up advanced technologies in the field of photo imaging. In line with its aim to become a comprehensive healthcare company, Fujifilm is now applying these technologies to the prevention, diagnosis and treatment of diseases in the medical and life science fields.

Fujifilm is also expanding in the functional materials business, including flat panel displays, and in the graphic systems and optical devices businesses.

Fuji Pharmaceutical <4554.Q>-6mth parent results

                FUJI PHARMACEUTICAL  CO LTD

                PARENT-ONLY FINANCIAL HIGHLIGHTS

 (in billions of yen unless specified)

            6 months ended  6 months ended  Full year to    Full year ended

               Mar 31, 2009    Mar 31, 2008    Sep 30, 2009    Sep 30, 2008

               LATEST          YEAR-AGO        COMPANY         YEAR-AGO  

               H1 RESULTS      H1 RESULTS      FORECAST        RESULTS  
 Sales               7.58            6.84           17.00                  

                                 (+6.7 pct)        (+13.8%)             
 Operating            943 mln        1.03            2.30                  

                                 (-2.5 pct)        (+11.3%)             
 Recurring            952 mln        1.03            2.31                  

                                 (-2.7 pct)        (+10.7%)             
 Net                  547 mln         639 mln        1.36                  

                                 (+7.4 pct)         (+8.7%)             
 EPS                   Y42.51          Y49.66         Y105.67              
 Shares                13 mln          13 mln                                
   -Q2 div              Y11.00          Y10.00                              
 Annual div                                            Y23.00          Y20.0
0 
-Q4 div                              Y10.00          Y12.00              

NOTE - Fuji Pharmaceutical  Co Ltd focuses on hormone preparations, antibotics and circulatory drugs.

If there is no Q1 or Q3 dividend, Q2 will in most cases correspond to the first-half dividend and Q4 to the second-half
dividend announced before a new corporate law in 2006 allowed companies to pay and report dividends on a quarterly basis.