Astellas announces the intended decision to transfer its manufacturing plant and business based in Meppel, the Netherlands, to Delpharm

TOKYO, May 25, 2023 – Astellas Pharma Inc. (TSE: 4503, President and CEO: Naoki Okamura, “Astellas”) today announced that Astellas B.V. and Astellas Pharma Europe B.V., Astellas’ subsidiaries in Netherlands, have made an intended decision to sell and transfer its manufacturing plant, located in Meppel, the Netherlands (the “Business”), to Delpharm Industrie SAS (CEO: Sébastien Aguettant, “Delpharm”). The definitive agreement will be executed after completing works council consultation and local legal and regulatory requirements.

1. Summary of the intended transaction
   
   (1) Purpose rationale
   Astellas is committed to the process of optimizing resources to adapt and successfully perform in a rapidly changing business environment. This includes the areas of technology and manufacturing in which Astellas actively strengthens its capabilities and develops ties with partners to promote a stable supply of high-quality medicines. As part of these efforts, Astellas B.V. and Astellas Pharma Europe B.V. have made the intended decision to sell and transfer the Business to Delpharm.
   
   Upon the transfer of the Business to Delpharm, the plan is that Delpharm will continue to manufacture the products that are currently manufactured at the plant in Meppel and will deliver these products to Astellas group to ensure the stable supply of products for patients. This collaboration between Delpharm and Astellas will allow Astellas to utilize a high-quality and efficient outsourced manufacturing system in Meppel. As part of the sale and transfer of the Business, the employees will also transfer to Delpharm.
   
   (2) Schedule
   ・May 24, 2023: Intended decision is made by Astellas
   ・Second quarter of Astellas’ fiscal year 2023: Signing of a definitive agreement (tentative) subject to works council consultation.
   ・Fourth quarter of Astellas’ fiscal year 2023: Completion of transfer to Delpharm (tentative).
   
   (3) Financial terms
   Financial terms of the transaction, including the purchase price, are not disclosed.
   
    
2. Outline of the relevant parties
    

   ■   Astellas B.V

   Headquarters: Leiden, The Netherlands
   Representative: Stef Schutte
   Capital: € 6.12 million
   Operations: Financial Holding
   Employees: 11 (as of May 2023)
   Production sites: none

   ■   Astellas Pharma Europe B.V.

   Headquarters: Leiden, The Netherlands
   Representative: Stef Schutte
   Capital: € 33.75 million
   Operations: Technology & Manufacturing, Medical & Development,
   Commercial, Supporting Functions
   Employees: 346 (as of May 2023)
   Production sites: Meppel Plant

   ■   The Meppel Plant 

   Location:  Hogemaat 2, 7942 JG Meppel, the Netherlands
   Site area: 46,337 m²
   Building area: 21,000 m²
   Employees: 332 employees (as of May 2023) 
   Forms of pharmaceuticals being produced: tablets, capsules, and 
   granule medicines
   Production Results: approx.1.3 billion tablets, approx. 50 million packs, and approx. 80 tons granules (as of the end of March 2023)

   ■   Delpharm Industrie SAS 

   Headquarters: Boulogne-Billancourt, France
   Representative: CEO Sébastien Aguettant 
   Sales: €1 billion    
   Operations: manufacturing sites located across Europe
   Employees: approx. 6,500 employees (as of the end of March 2023)

The impact of this transaction on Astellas’ financial results for the fiscal year ending March 31, 2024, is expected to be minor.

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