HOYA : Notice of Signing of Joint Venture Contract (Consolidated Subsidiary)

	October 22, 2021
Company Name	HOYA Corporation
Name of	Hiroshi Suzuki, Representative
Representative	Executive Officer and CEO
(Ticker: 7741, First Section of the Tokyo Stock Exchange)
Contact	Investor Relations TEL[phone]
	Public Relations TEL[phone]

Notice of Signing of Joint Venture Contract (Consolidated Subsidiary)

We have executed a joint venture agreement with a division of the BOE Group (Beijing BOE Vision Electronic Technology Co., Ltd.)("BOE"), to initiate the formation of a joint venture company in China. The joint venture will involve our Flat Panel Display (FPD) business unit. Together with BOE, we plan to establish a joint venture company, the completion of which is subject to the occurrence of certain activities and conditions, including the execution of various ancillary and supporting agreements and the obtaining of legal and regulatory clearances with Chinese and other relevant jurisdictional authorities.

We hereby provide the following information.

Notes

1.Purpose of Incorporation of Joint Venture Company

Demand for FPD photomasks, which are essential components for the manufacture of LCDs/OLEDs for TVs, smartphones, PCs, etc., is expected to increase as the medium-tolong-term panel market in the Chinese market grows. Accordingly, we have decided to pursue a FPD joint venture in China with BOE, a major Chinese panel manufacturer, with the intention to enhance the manufacturing production capacity of FPD photomasks in China.

2.Outline of the Joint Venture

Name	TBD
Address	Chongqing, People's Republic of China
Representative	TBD
Date of Incorporation	TBD
Number of employees	TBD
Description of Businesses	Manufacture and sales of FPD photomasks
Paid-in Capital	RMB 1 billion
Net assets	TBD
Total assets	TBD
Investment ratio	HOYA 60%, BOE 40%
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3.Outline of the Partner.

Name of the counterparty	Beijing BOE Vision Electronic Technology Co., Ltd.(BOEVT) (*1)
to the joint venture
agreement
Controller of BOEVT	BOE Group
Address	Beijing, People's Republic of China
Representative	Chen Yanshun, Chairman of Executive Committee
Date of Establishment	April 1993
Number of employees	76,459 (as of December 2020)
Description of Businesses	Manufacturing and sales of electronic components such as liquid crystal
	panels and organic EL panels
Paid-in Capital	34,798,398,763 RMB (as of December 2020)
Major shareholders and	Beijing State-owned Capital Management Center 11.68%
percentage of shares	The Hong Kong Securities Clearing Company 5.88%
	Beijing BOE Investment Development Co., Ltd 2.36%
	Capital	Not applicable.
	relationship
Relationship between a	Personnel	Not applicable.
relationship
listed company and the
Business	We and our subsidiaries sell products to BOE and BOE
company
relationship	subsidiaries.
	Status as a related	Not applicable.
	party
Selected Financial Information (RMB)	FY12/18	FY12/19	FY12/20
Consolidated net assets			85,856,748,703		95,058,129,055		103,276,766,835
Consolidated total assets	304,028,491,385		340,412,203,308		424,256,806,331
Consolidated net assets per share	-	-	2.56
Consolidated net sales			97,108,864,935		116,059,590,164		135,552,569,729
Profit attributable to owners of parent	3,435,127,975		1,918,643,871		5,035,627,952
Consolidated net income per share	0.10		0.05		0.13
Dividend per share			0.03		0.02		0.01

*1. The information of Beijing BOE Vision Electronic Technology Co., Ltd. is not available. Therefore, the information set forth above refers to that of the BOE Group, unless otherwise specified.

4.Future Schedule

Date of decision by the representative executive officer	October 22, 2021
Date of the joint venture agreement	October 22, 2021
Date of establishment of joint venture	TBD
Commencement date of operations of the joint venture	TBD

5. Effect on earnings

We do not expect any material effect on the consolidated results for the year ended March 31, 2022, and we will disclose impacts on financial results in the future as they may occur.

This document is a disclosure document to the public and is not intended to solicit or act on behalf of any investor, whether in Japan or abroad, including the United States.

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