Asia Healthcare Analyst, Pathology Associates Limited

Dion Stéfan Büchner M.D., FCAP

Asia Healthcare Analyst

Pathology Associates Limited

Equity Bottom-Up

<ul><li>Enactment of, the “Act on the Safety of Regenerative Medicine” and the “Act on Pharmaceuticals and Medical Devices” (PMD Act) in November 2014 has put Japan on the radar screen of the global regenerative medicine industry.</li><li>As an immuno-cell therapy pioneer, <a href="https://www.smartkarma.com/entities/5594" target="_blank" data-smartkarma-citation="entities:5594:1">Medinet Co Ltd (2370 JP)</a> is equipped with unrivalled cell processing experience, accumulated technology, and highly skilled cell processing engineers, all of which provide a strong base and an overwhelming competitive edge to succeed in this technology driven sector.</li><li>Medinet’s cell processing infrastructure and its technology developed over years by handling about 170,000 cases makes it a natural partner for global biotech companies looking to develop and commercialize immune-cell therapies and regenerative medicines in Japan.</li><li>Backed by the state-of-the-art Shinagawa cell processing facility, Medinet has intensified marketing efforts to boost CDMO contracts from new clinical / research institutions and cell-therapy companies.</li><li>However, its “Cell Medicinal Products” business (strengthened by recently in-licensed NeoCart from Histogenics Corp. and ATL-DC-101 from National Hospital Organization) could prove pivotal in its pursuit of operational turnaround, in our view. We expect company to turn profitable in FY24e; within 3 years of launching NeoCart and ATL-DC vaccine.</li></ul>

Enactment of, the “Act on the Safety of Regenerative Medicine” and the “Act on Pharmaceuticals and Medical Devices” (PMD Act) in November 2014 has put Japan on the radar screen of the global regenerative medicine industry.As an immuno-cell therapy pioneer, Medinet Co Ltd (2370 JP) is equipped with unrivalled cell processing experience, accumulated technology, and highly skilled cell processing engineers, all of which provide a strong base and an overwhelming competitive edge to succeed in this technology driven sector.Medinet’s cell processing infrastructure and its technology developed over years by handling about 170,000 cases makes it a natural partner for global biotech companies looking to develop and commercialize immune-cell therapies and regenerative medicines in Japan.Backed by the state-of-the-art Shinagawa cell processing facility, Medinet has intensified marketing efforts to boost CDMO contracts from new clinical / research institutions and cell-therapy companies.However, its “Cell Medicinal Products” business (strengthened by recently in-licensed NeoCart from Histogenics Corp. and ATL-DC-101 from National Hospital Organization) could prove pivotal in its pursuit of operational turnaround, in our view. We expect company to turn profitable in FY24e; within 3 years of launching NeoCart and ATL-DC vaccine.

Medinet (2370 JP) - Natural Partner for Immuno-Cell Therapies and Regenerative Medicine in Japan