Denka Company Limited (hereinafter "Denka") announced on July 26 the establishment of Denka Life Innovation Research Private Limited (hereinafter "DLIR") in Biopolis, Singapore, with the aim of securing the Denka Group's first overseas R&D base specializing in the healthcare and life science field.

Acting on its policy of aiding in cutting-edge R&D activities, the Singaporean government established Biopolis, a complex designed to serve as a hub for vibrant biomedical research. Since its opening, there has been a successful push to recruit domestic and overseas research institutions and business corporations to set up facilities in the complex, and, at present, Biopolis is home to a large number of biomedical-related businesses' research centers in addition to a laboratory run by Singapore's Agency for Science, Technology and Research (A*STAR). The setting is conducive to government-private collaboration with a focus on cutting-edge R&D. Denka itself has been engaged in ongoing joint research into such materials as functional resins and elastomers with A*STAR in the field of polymer science. When DLIR begins operations, Denka will launch a new collaborative project in the life science field.

In line with its strategy of focusing management resources on such growth fields as healthcare and life science, the Denka Group has stepped up its existing operations related to such products as vaccines, diagnostic reagents and macromolecular sodium hyaluronate preparations. The Group is now also looking to expand its scope of business to include anti-cancer drugs, genetic testing and health checkups. Against this backdrop, Denka has thus decided to secure the Group's second key life science R&D base after the Life Innovation Research Institute in Machida City, Tokyo. DLIR's location and setting are expected to help the company secure and nurture researchers capable of leading cutting-edge R&D projects that involve collaboration with peers from around the world. In this way, Denka will accelerate its initiatives to promote open innovation.

DLIR will mainly be in charge of product development related to diagnostic technologies for dengue fever, Zika fever and other tropical infectious diseases even as it takes on research into next-generation vaccines using the magnICON (R) (*) technology owned by Icon Genetics GmbH, a biopharmaceutical R&D company that became a Denka subsidiary in 2015.

Outline of Denka Life Innovation Research

- Company name: Denka Life Innovation Research Private Limited

- Ownership: Owned solely by Denka Chemicals Holdings Asia Pacific Private Limited

- Capital: USD2,000,000 or approximately JPY210 million (JPY105 = USD1.00)

- Location: 21 Biopolis Road, Nucleos South Tower Level 3, Singapore 138567

- Established: July 25, 2016

- Operational kickoff: February 2017 (scheduled)

(*) A technology to produce high molecular proteins such as antibodies and vaccine antigens by using plant-based genetic modification technology. magnICON (R) is also an innovative platform that enables the mass manufacturing of high-molecular proteins safely, at a low cost and in a short period, using traditional microbiological, insect or mammalian cell cultures. The technology has been highly evaluated by an external specialized institution for its competitiveness in terms of yield and production costs compared with other similar plant-based technologies.

About Denka Company Limited

President: Shinsuke Yoshitaka

Headquarters: Chuo-ku, Tokyo