Nippon Shokubai announces to construct a facility of API synthesis

NIPPON SHOKUBAI CO., LTD. (Tokyo Stock Exchange-TOKSE: 4114.T, Headquarter: Osaka, Japan, President: Yujiro Goto, hereinafter “Nippon Shokubai”) announces that Nippon Shokubai　held a ground-breaking ceremony on October 2nd, 2017, for the construction of a facility of API synthesis. The construction will be completed in December, 2018.

1. Background and purpose of investment
In the current long-term business plan “Reborn Nippon Shokubai 2020” started in 2014 and the 2nd medium-term Business Plan “Reborn Nippon Shokubai 2020 NEXT” started in 2017, Nippon Shokubai has a plan to open up a health and medical business field as one of the new business domains. Targeting the peptide drugs, nucleic-acid drugs and DDS where market growth is expected, Nippon Shokubai is establishing a drug development support business that provides customers a consistent service from drug discovery & clinical studies to contract manufacturing. In order to establish a business base on these promising areas, Nippon Shokubai keeps on not only seeking out chances of business partnerships with innovative technical resources outside the company, but also studying a feasibility of establishing function of manufacturing these kinds of APIs.

In terms of manufacturing these kinds of APIs, this is one of the biggest facilities of API synthesis in Japan. By utilizing this facility as same as laboratory of API synthesis established in September, 2016, Nippon Shokubai will be able to manufacture peptide drugs and nucleic acid drugs APIs from mg scale to kg scale in compliance with GMP.

2. Overview of facility
Location:　　　Nippon Shokubai Suita Research Center
Regulation:　　　GMP(JP,US,EU),PIC/S GMP
Floor Area:　　　Around 3,000 square meters
Estimated construction complete date:　　　December,2018
Estimated operations commencement date:　　　April,2019
Main equipment:　　　Solid and liquid phase synthesizer of peptide and nucleic acid drugs, Large scale separation and purification apparatus, Freeze dryer, Analysis equipments for QC etc.
Appearance(image):　　　Figure1

3. Influence on the business results
This project makes no influence on the business results until the fiscal year ending on 31st March, 2019. As for the business results in the future, after the completion on 2019, Nippon Shokubai will accelerate drug development support business by utilizing the above mentioned facility effectively.
ABOUT NIPPON SHOKUBAI: Since 1941, Nippon Shokubai has grown up its business with unique catalyst technology. Nippon Shokubai has supplied, for example, Ethylene oxide, Acrylic acid, automobile catalyst, process catalyst and so on. Among all, our global market share of superabsorbent polymer comes up to No.1, now. Nippon Shokubai is a global chemical company with its corporate mission as “Providing affluence and comfort to people and society, with our unique technology”.

【Contacts】 Investor & Public Relations Dept.
NIPPON SHOKUBAI CO., LTD.
TEL: +81-3-3506-7605 E-mail: shokubai@n.shokubai.co.jp