Kitanotatsujin : Rich Placenta Essence that Penetrates Deeply for Beautiful Skin Notice on Launch of “THE PLACENTA QUEEN”

Company Name	Kitanotatsujin Corporation
Representative	Representative Director & President
Katsuhisa Kinoshita
	Stock code: 2930
	TSE 1st Section/Sapporo Securities Exchange
Inquiries	Director Takahito Kudo
TEL	050-2018-7864 (Direct phone number)
	August 19, 2021

Rich Placenta Essence that Penetrates Deeply for Beautiful Skin

Notice on Launch of "THE PLACENTAQUEEN"

Kitanotatsujin Corporation (the "Company") hereby announces the launch of sales of "THE PLACENTA QUEEN," a rich placenta essence, on August 31, 2021, as follows.

This product has been developed with special attention to materials, freshness, and production methods to ensure that customers can understand the Company's commitment to high-quality products.

Materials used include placenta extract taken from thoroughbred Hokkaido horses, which is difficult to obtain, even among horse-based placenta extracts that cannot be mass-produced. Additionally, under strict management for the safe collection and freshness preservation of materials, the Company utilizes a cold press production method, enabling optimum extraction of placenta vitamins.

Development history

Based on the policy of "only bringing surprisingly good products to market," the Company has placed the utmost priority on product quality, developing and selling high-quality products that seek the unwavering satisfaction of its customers, with approximately 70% of net sales being comprised of subscription customers. "THE PLACENTA QUEEN" was developed with a commitment to materials, freshness, and production methods to ensure that existing customers, who serve as the foundation for the Company, will feel even greater satisfaction through the use of highly rare and valuable placenta extract taken from thoroughbred Hokkaido horses, etc.

The Company will work to capture new customer segments and strengthen its revenue foundations through stable demand by enabling both existing customers and new customers alike to experience the deep skin penetration of this product and the high quality of the Company's products in general, regardless of the existence of beauty issues.

Market size

Due to an increase in consumers taking a second look at skin care, the beauty essence market is seeing an expansionary trend in demand for special care cosmetics that emphasize high functionality and effectiveness (source: "Cosmetics Marketing Survey 2021 No. 1," Fuji Keizai Co., Ltd., March 24, 2021).

Additionally, placentas are regularly used in supplements and cosmetics owing to the positive sensations that it provides and its name recognition, creating a strong market for it as a material (source: "Thorough Survey of Useful Organic Ingredients and Materials Market 2020," Fuji Keizai Co., Ltd., December 2, 2019).

Furthermore, in response to recent heightened demand for anti-aging products, the anti-aging market is projected to grow to approximately 740.0 billion yen in 2021 (source: "Functional Cosmetics Marketing Survey 2020 - 2021," Fuji Keizai Co., Ltd., November 17, 2020).

Through the launch of "THE PLACENTA QUEEN," a high-quality, rich placenta essence targeting such a market that continues to see stable growth, the Company will work to create demand across a wide range of customers and expand its sales in turn.

Product details

Product name	THE PLACENTA QUEEN
Product	A rich placenta essence that utilizes rare placenta extract taken from thoroughbred Hokkaido horses with
summary	a commitment to freshness and use of the cold press production method.

Product features

Placenta extract from thoroughbred Hokkaido horses (with pedigrees)

From among horse placenta extract, which cannot be mass produced as the number of births per horse and the number of horses born are limited, the Company's placenta extract is taken only from thoroughbreds, which are even more scarce and are even referred to as the "legendary placenta extract."

While many of the placenta essences on the general market use pig placentas or placentas taken from overseas horses, "THE PLACENTA QUEEN" uses horse placentas taken from high- quality thoroughbred Hokkaido horses (with pedigrees) that have been raised stress-free in spacious fields.

Commitment to freshness and production methods

• Freshness management for placenta materials

A veterinarian attends the birth, and individually harvests the placenta from each horse in a safe and standardized process. Cell degradation is minimized by accelerated vacuum freezing in a specialized freezer, part of the thorough management implemented to preserve freshness.

• Cold press production method that was conceived about 10 years ago

Using the cold press production method, which does not require high-temperature processing and instead uses super high-pressure processing equipment, and also exercising care while taking extra time in the extraction process, enables optimum extraction of placenta vitamins. Since the molecular weight of the ingredients are reduced via super high-pressure processing, it feels easy on the skin and penetrates the skin quickly.

Rich in amino acids

"Natural moisturizing factor (NMF)," which is already present in the skin, is comprised mainly of amino acids, and serves to maintain moisture within the stratum corneum. If NMF is lacking, skin issues such as dry skin may present. Amino acids serve an important role in skin being able fulfill its potential,

The placenta extract used in "THE PLACENTA QUEEN" includes 18 amino acids and hydroxyproline, which stabilizes collage structures.

	Hydroxy-	Arginine	Lysine
	proline
	Cystine		Histidine
Trypto-				Phenyl-
phan				alanine
Aspartic				Tyrosine
acid
Threo-				Leucine
nine
	18 types of amino acids	Iso-
Serine	& hydroxyproline
leucine
Glutamic				Methio-
acid				nine
	Proline		Valine
	Glycine		Alanine

Launch date	Tuesday, August 31, 2021
The Company began advance pre-orders on August 19, 2021.

Unit price (after tax)

Inquiries

Regular price	13,200 yen
Regular course	5,478 yen

Customer Contact Center, Kitanotatsujin Corporation Website: https://otoiawase.in

(Note) Terms and phrases in the text refer to the following.

Penetration	To the stratum corneum
Placenta	Ingredient that provides firmness and luster
Anti-aging	Age-appropriate skincare