New Plant construction in Vietnam Merap

Research evidence excerpt

New Plant construction in Vietnam Merap

Japan | Cosmetics, Household & Personal Care

Lion EquityJuneResearch30, 2026

FLASH NOTENew Plant construction in Vietnam Merap

The implication is neutral. Following the acquisition of Merap last year, RATING HOLD

the company appears to be accelerating investment into the Vietnamese PRICE ¥1,709^

pharmaceutical market, in addition to its existing presence in Thailand, PRICE TARGET | % TO PT ¥1,800 | +5%

China, South Korea, and Malaysia. This reflects a direction of manufacturing 52W HIGH-LOW ¥1,885 - ¥1,438

capacity investment looking beyond the mid-term plan (post-2027) toward FLOAT (%) | ADV MM (USD) 83.7% | 12.23

2030. MARKET CAP ¥472.7B | $2.9B

TICKER 4912 JP

Announced on the 30th that a new factory will be established through its Vietnamese ^Prior trading day's closing price unless otherwise noted.

subsidiary Merap. The facility will manufacture solid oral pharmaceutical products, which is

a core category in the oral care segment. Total investment is JPY 1.5 billion, with completion

targeted for 2030.

Existing overseas oral care production has been handled by the China plant.

In contrast, the Vietnam facility will not produce oral healthcare products, but rather solid

pharmaceutical products.

The investment is positioned in a mid-term growth area. The JPY 1.5 billion investment in

Vietnam will primarily target the domestic Vietnamese market. Funding will be covered by local

cash reserves in Vietnam. Production capacity is expected to nearly double versus the current

level.

The Vietnam (Merap) business started to contribute from 2H 2025. The new plant will

manufacture solid pharmaceuticals not intended for the oral healthcare business, with sales

mainly focused on Vietnam,

Implication is neutral.