アース製薬（4985） – Update on disclosed matter; Notice regarding the Expansion of Business Development in the Philippines

Press Release Code URL Contact Update on disclosed matter; Notice regarding the Expansion of Business Development in the Philippines April 4, 2022 Listed exchanges : Prime Market Listed company name : Earth Corporation : 4985 : https://corp.earth.jp/en/index.html : Tsuyoshi Mitsuzuka , Senior Executive Officer Director General Group Management Headquarters Representative Director : Katsunori Kawabata, President & Representative Director Tel : +81-3-5207-7458 Earth Corporation (the “Company” ) announces that it has acquired the following shares in connection with the matters disclosed in the ” Notice regarding the Expansion of Business Development in the Philippines ” dated September 7, 2021. 1. Reason for Share AcquisitionIn its mid-term management plan “Act For SMILE – COMPASS 2023 -,” the Earth Corporation grouphas set expansion of its Asian earnings base as one of its most important strategies, and isexpanding its business in the Southeast Asian region. In particular, we believe that the Philippinesis a market that can be expected to grow in the future, as its population is expected to increase, itseconomy is expected to grow at a high rate, and demand for insect care products is expected toincrease year by year.Therefore, as disclosed on September 7, 2021, Earth Homecare Products (Philippines), Inc.（”EHPI”） was established to accelerate business development in the Philippines by taking overthe sales business of insect care products, household products, pet care products, etc. of Neumann& Mueller Philippines, Inc. (“NMPI”) to acquire 66.7% of the shares of EHPI, and the shareacquisition has been completed in accordance with the share transfer agreement andaccompanying agreements that were executed.The sales business taken over from NMPI has been performing well in the Corona Disaster. Goingforward, the Company aims to increase earnings by introducing daily necessities and otherproducts in the Philippines, with a focus on insect care products.1 / 3 2. Outline of the new company 1. Company name: 2. Location: 3. Name and title of representative 4. Business description 5. Capital 6. Established: 7. Major shareholders and their shareholdings 8. Relationships with Earth Corporation Earth Homecare Products (Philippines), Inc. Unit 2105 Atlanta Centre, 31 Annapolis St., Greenhills, San Juan City, Metro Manila, Philippines Hiroyuki Takagi, Managing Director Sale of insecticides and repellents, household products, pet care products, etc. PHP161.5mn October 7, 2021 • • Capital relationships Personal relationships Earth Corporation 66.7% Plus six other shareholders Of the directors of the company, one is seconded by an employee of the Company and one is seconded by an employee of the Company. Earth Corporation outsources product sales in the Philippines to EHPI. Business relationships The Company owns 66.7%. 3. Outline of the counterparty of the share acquisition The counterparties of the share acquisition are all individuals (6 persons), and due to confidentiality agreements, we refrain from disclosing their names. There are no capital, personal, or business relationships between the Company and the counterparties that are required to be disclosed. 4. Number of shares acquired, acquisition price and status of shares held before and after acquisition 1. Number of shares held 0 share before the change (Number of voting rights: 0) (Percentage of voting rights held: 0%) 2. Number of shares acquired 1,077,205 shares (Number of voting rights: 1,077,205) 3. Acquisition Price Not to be disclosed by agreement between the parties. 4. Number of shares held 1,077,205 shares after the change (Number of voting rights: 1,077,205) (Percentage of voting rights held: 66.7%) 2 / 3 5. Schedule 1. Date of agreement September 7, 2021 2. Date of establishment of October 7, 2021 new company 3. Date of share acquisition April 1, 2022 6. Future Outlook factors. This matter will have negligible impact on the consolidated financial results of the Earth Corporation group in the fiscal year ending December 2022. Note: The above forecast of financial results is based on certain information available to the Company at the time of announcement, and actual operating results may differ from the forecast due to various 3 / 3