JT advanced into the pharmaceuticals business in 1987. We aim to build a unique, world-class pharmaceutical business driven by R&D, and to increase our market presence through original and innovative drugs, implementing efforts in research and development that will allow us to merit the respect and appreciation of patients and medical staff around the world.

In 1993 we established a full-scale R&D facility, the Central Pharmaceutical Research Institute, to enhance our in-house R&D capabilities. At present, the Institute primarily conducts research and development on glucose and lipid metabolism; virus; immune disorders and inflammation; and bone metabolism. In 2000, we added clinical development to the operations of a U.S. subsidiary in New Jersey called Akros Pharma Inc., in order to strengthen our capability for clinical development and to use the subsidiary as an overseas base for clinical development.

In our pharmaceutical business, we have enhanced our in-house R&D capabilities while furthering our alliances with other firms to accelerate development and bring products to the market faster. Specifically, we concluded an out-licensing agreement with Roche of Switzerland for anti-dyslipidemia agent JTT-705, in October 2004, and with Gilead Sciences of the United States for anti-HIV agent JTK-303 in March 2005. In 2006, we licensed a new pre-clinical trial stage compound (MEK inhibitor) to GlaxoSmithKline of the United Kingdom in April, followed by the licensing of a pre-clinical trial stage antibody drug candidate (anti-ICOS-antibody) to MedImmune of the United States in December. Through these licensing deals, we have sped up the development of our drugs. We also concluded an in-licensing agreement in July 2003 to acquire exclusive rights to commercialize three anti-HIV drugs developed by Gilead Sciences in Japan. JT Group company Torii Pharmaceutical Co., Ltd. began sales of Viread, one of the three drugs, in April 2004, and of the other two, Emtriva and Truvada, in April 2005. In September 2007, JT and Torii Pharmaceutical concluded a licensing agreement with Keryx Biopharmaceuticals Inc. of the United States with regard to a hyperphosphatemia treatment. In March 2009, Torii Pharmaceutical launched the Remitch capsule, an oral antipruritus drug for hemodialysis patients, as its exclusive seller. JT and Torii had worked on this drug with Toray Industries since they concluded a joint development and sales agreement in March 2005.
JT is striving to make its pharmaceutical business a stable key revenue source for the future.