Nomura Establishes Japanese Generics And Biotech Investment Funds

Executive Summary

Japanese investment bank Nomura announced June 18 that it would establish investment funds containing a basket of generic drug makers and biotech companies June 24. Nomura Asset Management hopes to capitalize on current and future growth in the sectors. Japanese generic makers' share prices jumped on the news. Towa Pharmaceutical led the pack with ¥220 up for the day, marking a new high for the year. Saiwai Pharmaceutical's share price also increased by ¥170 to ¥5,270, also a new high for Japan's largest generic maker. Nichi-Iko shares rose for four days in a row. Another maker Fuji Pharmaceutical, however, saw shares drop by ¥18 due to heavy dependence on a single distributor. Since a diagnostic procedure combined payment system is expanding among hospitals in Japan, the generic drug market is expected to grow further. (Click here for more - Japanese language