メニコン（7780） – Notice of Acquisition of Fixed Assets

January 26, 2022 Menicon Co., Ltd. President and CEO: Hidenari Tanaka Securities Code: 7780 TSE, 1st section, NSE, 1st section Contact: Motonari Watanabe Senior Executive Officer, Corporate Management, CFO Phone: +81-52-935-1646 Notice of Acquisition of Fixed Assets Menicon Co., Ltd. (“the Company”) hereby announces that its board of directors has resolved at a meeting held on January 26, 2022 to acquire fixed assets at its wholly owned subsidiary, Menicon Malaysia Sdn. Bhd. 1. Reason for acquisition By constructing a new plant and increasing the production capacity of daily disposable lenses, we will be able to provide a stable supply of daily disposable contact lenses, which are driving the contact lens market in Japan and overseas. 2. Overview of the subsidiary acquiring the fixes assets (1) Name (2) Address Menicon Malaysia Sdn. Bhd. 51-21-A Menara BHL Bank, Jalan Sultan Ahmad Shah, 10050 Penang, Malaysia (3) Name and title of Managing Director: Koji Kawaura representative (4) Description of business Manufacture of contact lenses (5) Capital 17,000 thousand MYR (448 million yen*1) (As of December 31, 2021) *1 The Japanese yen conversion rate of the capital is based on the MUFG Bank (Malaysia) reference rate (TTM) (1 MYR = 26.50 yen) at the time of establishment on March 9, 2021 and the Mizuho Bank conversion rate (1 MYR = 26.36 yen) applied at the time of payment on July 21, 2021. The Japanese yen amounts are rounded down to the nearest million yen and Malaysian Ringgit amounts are rounded down to the nearest thousand MYR. 1 3. Details of the acquired assets (planned) (1) Name of the subject asset Malaysia Factory (tentative name) (2) Location No2 Jalan Hi-Tech 16, Zon Industri Fasa 4 (3) Summary of Assets (a) (b) Contact lens manufacturing factory building, Kulim Hi-Tech Park, 09090 Kulim, Kedah, Malaysia (4) Acquisition cost*2 (a) 3,016 million yen and 21,211 thousand USD contact lens manufacturing equipment and incidental equipment (total amount: approx. 5,455 million yen*3) (b) 445,513 thousand MYR (approx. 12,296 million yen*3) (5) Financial Planning Capital increase and loans from the Company, etc. *2 The Japanese yen is rounded down to the nearest million yen, the US dollar is rounded down to the nearest thousand USD, and the Malaysian Ringgit is rounded down to the nearest thousand *3 The Japanese yen conversion rate is based on the MUFG Bank (Malaysia) reference rate (1 MYR = 27.60yen) and the MUFG Bank, Ltd. Exchange Quotations (TTM) (1 USD = 115.02 MYR. (1) Name (2) Location yen) on December 30, 2021. 4. Contractor of the acquired asset (a) (3) Name and title of representative Representative Director, President (4) Description of business EPC business for various plants and facilities JGC CORPORATION 2-3-1 Minatomirai, Nishi-ku, Yokohama City, Kanagawa and Chief Executive Officer: Farhan Mujib overseas, etc. 1,000 million yen April 8, 2019 9,028 million yen (as of March 31, 2021) 199,354 million yen (as of March 31, 2021) (5) Capital (6) Date of established (7) Net assets (8) Total assets (9) Major shareholders and investment ratio JGC HOLDINGS CORPORATION 100% (10) Relationship between the listed There is no business, capital, or personal company and this company relationship to be noted with the company. 2 5. Contractor of the acquired asset (b) (1) Name (2) Location JGC Asia Pacific (M) Sdn. Bhd. Lot 782, Block 20, Kemena Land District, Jalan Tanjung Kidurong, Bintulu, 97000, Sarawak, Malaysia (3) Name and title of representative Hiroshi Tezuka (Director), Noriaki Hase (Director) (4) Description of business Construction of oil, gas, petrochemical, and industrial plants (5) Capital 750 thousand MYR (approx. 19 million yen) *4 (6) Date of established December 8, 2005 (7) Net assets 4,926 thousand MYR (approx. 126 million yen) *4 (8) Total assets 6,343 thousand MYR (approx. 162 million yen) *4 (As of December 31, 2020) (As of December 31, 2020) (9) Major shareholders and JGC Asia Pacific Pte Ltd 100% investment ratio (10) Relationship between the listed There is no business, capital, or personal relationship to company and this company be noted with the company. *4 The Japanese yen is rounded down to the nearest million yen and the Malaysian Ringgit is rounded down to the nearest thousand MYR. The Japanese yen conversion rate is based on the MUFG Bank (Malaysia) reference rate (TTM) (1 MYR = 25.61 yen) on December 30, 2020. 6. Acquisition schedule (the Company) (1) Resolution by the Board of Directors January 26, 2022 (2) Resolution by the Board of Directors January 28, 2022 (provisional) (subsidiary) (3) Conclusion of contract January 31, 2022 (provisional) (4) Building starts August 2022 (provisional) (5) Property delivery date (completion) End of December 2023 (provisional) 7. Forecast The impact of this matter on the Company’s consolidated business results for the fiscal year ending March 31, 2022 is expected to be minimal. 3 (Outline of the new plant) (1) Site area (2) Total floor space (Rendering of completed building) About 200,000m2 About 45,000m2 (office, etc.) (3) Outline of the factory 1 floor above ground (factory), 2 floors above ground End 4