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Brian K. Heywood, Chief Executive Officer and Managing Partner of Taiyo Pacific Partners, said, “Japanese pharmaceutical makers have grown sales by 4% annually over the past 10 years, with many more growth opportunities given Japan’s aging society. Drug makers themselves, however, face large regulatory risks and heavy burdens from R&D expenses surging 10% per year over the same period. Pharmaceutical companies in Japan face a strong need to outsource this R&D, and the trend is just beginning with only 15% of Japanese drug R&D outsourced vs. 50% in the US. As a leading outsourced research provider in Japan, CMIC is positioned to enjoy the strong growth in pharmaceutical R&D without facing approval risks. We have been impressed by CMIC management’s commitment to shareholders and are confident they will continue to create shareholder value.”

Wilbur L. Ross, CEO of WL Ross & Co., added, “Pharmaceutical R&D expenses for new drug development have been increasing worldwide and it is clear that pharmaceutical makers need to outsource their clinical processes to reduce costs. As the largest clinical trial outsource service provider in Japan, CMIC is poised to capitalize on this long-term secular growth trend.”

Mr. Kazuo Nakamura, Chairman and CEO of CMIC commented, “We recognize that Taiyo is a friendly long term investor and we are honored to be selected among many excellent companies for their portfolio. Leveraging our accumulated know-how after years of servicing the pharmaceutical industry, we are growing our company and contributing to the next generation of medical advances.”

Taiyo Pacific Partners is a pioneer of friendly, activist investing in Japan. The Taiyo Pearl Fund is the second fund managed by Taiyo Pacific Partners and was launched in October 2007 to invest in publicly listed, Japanese micro-cap and private companies. Taiyo’s first fund, the Taiyo Fund, is co-managed with WL Ross & Co. LLC, and was organized in July 2003 with an initial equity investment of $200 million. Ross also serves as an investment committee member of the Taiyo Pearl Fund. Taiyo Pacific Partners currently manages a total of over $1.7 billion under management. Taiyo Pacific Partners, located in Kirkland, Washington, was founded by bilingual professionals dedicated to friendly shareholder activism in Japan.

For information contact:

Wilbur L. Ross
[email protected]

Brian K. Heywood
[email protected]