Feb 25 • 03:00 UTC 🇯🇵 Japan Asahi Shimbun (JP)

Tsumura to Acquire Yomeishu Manufacturing, Expecting Synergy Amid Declining Market

Tsumura has announced its acquisition of Yomeishu Manufacturing for approximately 6.8 billion yen, aiming to leverage synergies between herbal medicines and Yomeishu products.

Tsumura, a leading herbal medicine company based in Minato, Tokyo, has declared its intention to acquire Yomeishu Manufacturing, known for its primary product "Yomeishu", for about 6.8 billion yen. The acquisition is expected to be finalized around July to August, with Tsumura planning to procure raw materials jointly to cut costs, capitalizing on the similarities between herbal medicines and Yomeishu, which both utilize plant-based medicinal ingredients. The buyout process involves a series of stock acquisitions by various investment entities culminating in Tsumura's complete ownership of Yomeishu Manufacturing.

Yomeishu, which has a history extending over 400 years, has seen a decline in sales in recent years due to the emergence of supplements and health foods as well as a tightening consumer budget amid rising prices. Reports indicate that the sales of Yomeishu-related products are projected to decrease by about 9% during the period from April to December 2025 compared to the previous year. Despite these challenges, Yomeishu remains a unique product as both a medicinal and alcoholic beverage, allowing it to hold a nearly monopolistic position in its niche market, making it potentially lucrative even amidst competition from other sectors.

Tsumura's strong presence in the prescription herbal medicine market and its existing distribution network through pharmacies are expected to revitalize Yomeishu products. By leveraging its established sales channels, Tsumura aims to enhance the visibility and sales of Yomeishu and improve its market performance, thus creating a favorable outcome for both Tsumura and Yomeishu in the face of existing market pressures.

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