New positions include conglomerate Fujifilm Holdings (TSE:4901, Financial). The company's printer division is viewed by market participants as having lackluster prospects; however we expect that the dissolution of Fujifilm's joint venture with Xerox could work in Fujifilm's favor. We also like Fujifilm's Med-tech portfolio covering endoscopy, in vitro diagnostic devices and ultrasonic devices, as well as its growth in its contract development and manufacturing organization (CDMO) business, which are attractive, cash-flow generative businesses.
From Matthews Japan Fund (Trades, Portfolio)'s first-quarter 2020 commentary.
