We are pleased to announce that Unison Capital Partners V, LPS and Unison Capital Partners V (J), L.P. (collectively, “Unison V”) have acquired Reliance Co., Ltd. (“Reliance,” Hiroshima-city, Hiroshima, Representative Director: Mr. Tomoya Shigematsu), an operator of 38 pharmacies via Reliance HD Co., Ltd. (Chuo-ku, Tokyo, Representative Director: Mr. Tomoya Shigematsu), which was established by Mr. Tomoya Shigematsu and Community Healthcare Coordination Platform, Inc. (“CHCP”), a wholly-owned subsidiary of Unison Capital, Inc.

  Japan’s medical and long-term care expenditures have reached \50 trillion, equivalent to approximately 10% of the GDP, and are expected to rise with the aging society. Slowing the pace of inflationary increase in social security spending is a pressing issue in Japan, necessitating the establishment of an efficient system for delivery of high quality medical and long-term care. Additionally, needs for business succession and labor shortages are widespread in a highly fragmented market dominated by small, independent pharmacies.

  Leveraging its knowledge and expertise in the Japanese healthcare industry, CHCP, in close communication with healthcare providers, has been building a new local healthcare system.

  Unison V plans to continue the consolidation of community pharmacies, which is an investment thesis pursued by Unison Capital Partners IV, LPS and Unison Capital IV(F), L.P. (collectively “Unison IV”) and the acquisition of Reliance is the first transaction of community pharmacies undertaken by Unison V. Having closed this deal, we have consolidated 149 pharmacies in Japan via Unison IV and Unison V. We will carry on this initiative in order to contribute to the construction of an Integrated Community Care System promoted by the Ministry of Health, Labour and Welfare.