TOKYO, December 19, 2016—Canon Inc. (“Canon”; Headquarters: Tokyo, Japan; Chairman and CEO: Fujio Mitarai) announced today that a resolution was passed at a Board of Directors meeting to acquire the shares of Toshiba Medical Systems Corporation (“Toshiba Medical”; Headquarters: Tochigi Prefecture, Japan; President: Toshio Takiguchi) and make the company a subsidiary, as the necessary clearance from competition regulatory authorities has been obtained.

Canon concluded a shares and other securities transfer agreement with Toshiba Corporation (“Toshiba”; Headquarters: Tokyo, Japan; President and CEO: Satoshi Tsunakawa) on March 17, 2016. Following that, in order for Toshiba Medical to become a subsidiary, Canon sought clearance from competition regulatory authorities. As clearance has been obtained from the competition authorities of every country and region where Canon applied, a Board of Directors meeting was held today and a resolution was passed to exercise the Company’s share options, acquire the shares of Toshiba Medical and make the company a Canon subsidiary.

Reason for the acquisition

Under Phase V of its Excellent Global Corporation Plan, a five-year initiative launched in 2016, Canon aims to embrace the challenge of new growth through a grand strategic transformation. With regard to reinforcing and expanding new businesses in particular, which represents one of the important strategies to be carried out during this phase, Canon intends to cultivate its health care business within the safety and security sector as a next-generation pillar of growth.

Toshiba Medical is one of the leading global companies in the medical equipment industry. Within the field of medical X-ray computed tomography (CT) systems in particular, Toshiba Medical is the overwhelming market share leader in Japan and has been steadily increasing its global market share. Additionally, Toshiba Medical is the only company in the industry with a broad product portfolio that spans diagnostic X-ray systems, magnetic resonance imaging (MRI) systems, diagnostic ultrasound systems and diagnostic nuclear medicine systems. The company also offers cutting-edge medical imaging solutions and in-vitro diagnostics aimed at individualized care.

Through the agreement announced today, Toshiba Medical, with its world-class technological capabilities and global platform, will be welcomed into the Canon Group. By maximizing the combination of both companies’ management resources, Canon aims to solidify its business foundation for health care that can contribute to the world.

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