September 20, 2024

MinebeaMitsumi Co., Ltd.

Announcements of individual stocks regarding business transfers by our consolidated subsidiary.

Minebea Mitsumi Co., Ltd. (hereinafter referred to as "the Company") subsidiary AVERICK Co., Ltd. (hereinafter referred to as "AVERICK") has decided to acquire the medical-related business (hereinafter referred to as "the subject business") operated by Societe Next Co., Ltd. (hereinafter referred to as "Societe Next"), and has concluded a business transfer agreement with Societe Next on September 6th. We would like to inform you of this.
Please note that this business transfer does not fall under the criteria for timely disclosure as defined in the rules of the Tokyo Stock Exchange. However, we have deemed it useful information and therefore, it will be disclosed on our company website.

1. Reason for the business transfer

We position our core business, the "Eight Spears," as a product that can leverage our strengths in ultra-precision processing technology and mass production technology, and that is easy to become an essential part of our customers' business. We will provide new value to our customers by combining these strengths.
Abic Corporation started its analog semiconductor business in 1968 with the development of the first mass-produced CMOS IC for quartz watch, and has since been using advanced analog technology to develop products that achieve small size and low power consumption. It plays an important role in one of the "Eight Spears," the analog semiconductor business, and has been providing customers with high-precision analog and mixed-signal semiconductors in fields such as automotive, medical devices, industrial equipment, and consumer devices.
In particular, the medical device IC acquired from Hitachi, Ltd. in 2016 is one of Abic's focused businesses and has steadily grown as a key product for ultrasound diagnostic devices, including the transmission IC, which is a key device, and the high-voltage switch IC.

In this target business, we develop and sell solutions (LSI/board modules/equipment) for handheld ultrasound diagnostic devices in the healthcare and medical device fields. Our solutions are characterized by wireless, low power consumption, small size and light weight, and high image quality. The source of competitive advantage in this target business lies in the deep knowledge of systems, including firmware, and receiving technology, including high-definition image generation, in addition to LSI.
Through this business acquisition, a complementary relationship is established between the transmission technology, which Abic has excelled in, and the receiving technology, which is the strength of the target business. This enables the development and market introduction of high-value-added products. As a result, we aim to expand our market share in the ultrasound diagnostic device market, particularly in the rapidly growing market of handheld ultrasound diagnostic devices.
With this business acquisition, we will create significant synergy effects and ensure the achievement of our target revenue of 200 billion yen for the entire analog semiconductor business for the fiscal year ending in March 2029.

* "Sogo" means "comprehensive" as well as "matching" or "bringing together." In this context, it means to combine and utilize our in-house technologies to evolve our core products and create new products in various fields by further matching these evolved products.

2. Overview of the Business Acquisition

(1) Contents of the transferred business

Medical-related business operated by Socionext
(Mainly development, manufacturing, and sales of ultrasound diagnostic equipment and LSI)

(2) Financial performance of the transferring department in the previous fiscal year

It is confidential due to the confidentiality obligation between the parties.

(3) Assets and liabilities of the transferring department

Inventories, products, tangible and intangible fixed assets related to this business
(Cash and deposits, as well as monetary receivables and liabilities not listed above, are excluded)

3. Overview of the other party

4. Schedule

5. Future Outlook

The impact on our consolidated performance for the fiscal year ending March 2025 due to this business transfer is minimal. If any matters to be disclosed occur in the future, we will promptly disclose them as soon as they are determined.

Above.

Return to Press Release List.

This is the end of the article.

Tweet