Oct. 30, 2014Corporate
Sumitomo Dainippon Pharma Announces Transfer of a Fixed Asset
Osaka, Japan, October 30, 2014 - Sumitomo Dainippon Pharma Co., Ltd. (Head Office: Osaka, Japan; President: Masayo Tada; Securities Code: 4506, First Section of TSE) announced that today its Board of Directors met and approved the below-listed transfer of the Company's fixed asset.
An idle fixed asset is to be transferred for the purposes of more efficient use of the Company's resources and enhancement of the Company's financial strength.
2. The asset to be transferred
(Yen amounts in millions)
|Description of the asset||Transfer price||Book value||Net gain||Current conditions|
|"former Osaka Center"
5-51, Ebie 1-chome, Fukushima-ku, Osaka, Osaka
Land: 27,864.43 m²
Building: 39,316.47 m² (GFA)
- 1) The gross floor area shown above is the aggregate of GFA's of the main building and 38 auxiliary buildings on the site.
- 2) Net gain represents the approximate difference between the transfer price and the book value, less transfer fees and charges
3. Profile of the transferee
|Name:||Hanshin Electric Railway Co., Ltd.|
|Address:||1-24, Ebie 1-chome, Fukushima-ku, Osaka, Osaka|
|Representative:||Takaoki Fujiwara, President|
|Business lines:||Railway services, real estate, sports and leisure businesses|
|Paid-in capital:||¥29,384,485,857 (As of September 30, 2014)|
|Established:||June 12, 1899|
|Relations:||Nothing in particular|
|Board approval:||October 30, 2014|
|Transfer agreement:||Early November 2014 (planned)|
|Delivery:||Early December 2014 (planned)|
5. Accounting and financial forecast
Booking of a gain from the sale of the fixed asset in the amount of 7,680 million yen as an extraordinary income is envisaged for the third quarter (October-December 2014) of fiscal 2014. This gain from the sale of the fixed asset is considered in the financial forecast for fiscal 2014 (to end March 31, 2015), which was announced today.
About the former Osaka Center
The site of the former Osaka Center was first acquired in 1897 by Osaka Pharmaceuticals Co., Ltd., one of our predecessor companies, for construction of its pharmaceuticals plant. In the following year, the Pharmaceutical Plant of Osaka Pharmaceuticals (commonly known as Ebie Pharmaceutical Plant) was established there. The plant was renamed as Osaka Plant in 1950, and until its closure in April 2003, Osaka Plant served as an important base for the production of the Company's pharmaceuticals. After the discontinuation of the production activities, the site was utilized mainly for office and R&D purposes until September 2014.