Healios K.K. announced the subsidiary to be established will initially be wholly owned by Healios and is scheduled to be established in August 2023, with the business of research, development, manufacturing and marketing of pharmaceutical products. The name of the subsidiary, its location, the name and title of representative director and capital stock will be decided later. There is no confirmed impact of this matter on the business results for the fiscal year ending December 31, 2023 at this time.