Nippon Shokubai : Acquires the Ownership of Rena Therapeutics

Nov. 22, 2019

OSAKA, JAPAN, November 22, 2019 - NIPPON SHOKUBAI CO., LTD. (Headquarter: Osaka, Chuo-ku, hereinafter 'Nippon Shokubai') announces that it has purchased issued and outstanding shares of Rena Therapeutics Inc. (Headquarter: Tokyo, Chiyoda-ku, hereinafter 'Rena Therapeutics') and acquired the ownership of Rena Therapeutics in November 21st, 2019.

1. About Rena Therapeutics
Rena Therapeutics is a venture company authorized by Tokyo Medical and Dental University (TMDU) in order to accelerate the Hetero Duplex Oligonucleotide (HDO) technology and drive commercialization of oligonucleotide drug. The HDO technology is invented by Professor Takanori Yokota of TMDU, Professor Satoshi Obika of Osaka University and others.

Oligonucleotide drug has been expected as new modality for treating intractable diseases, however, issues such as instability in blood and side effects have been revealed and widely recognized. HDO is composed of double stranded DNA/RNA with ligand molecules for proper drug delivery (Figure1), and it is strongly expected to overcome these issues.

Evaluated the high possibility of HDO technology, Rena Therapeutics executed non-exclusive license agreements with Ionis Pharmaceuticals, Inc. which is global leading company in RNA-targeted drug discovery and development, and Takeda Pharmaceutical Company Limited. which is the largest Pharmaceutical company in Japan. Nippon Shokubai invested in Rena Therapeutics to support its R&D and promote relationship in June 2017.

2. Purpose of transaction
Nippon Shokubai is establishing the Health and Medical Business, focusing on the fields of oligonucleotide drug, peptide drug, and Drug Delivery System (DDS). Nippon Shokubai plans to develop the DDS technology of oligonucleotide drug through this acquisition.
By means of not only active business support from Nippon Shokubai to Rena Therapeutics but also the cooperation with Rena Therapeutics, TMDU, and Osaka University, Nippon Shokubai will promote HDO technology to be practical. Nippon Shokubai tries to expand the contracted API manufacturing business acquiring new clients such as pharmaceutical companies as a result of manufacturing HDO structured API.

3. Overview of transaction
(1) Transfer of the shares
Nippon Shokubai purchased 301,250 shares.

・Before
Percentage　　　　　　　　　26.7% of all issued shares
Class and Number of shares　Class B preferred　　　125,000 shares

・After
Percentage　　　　　　　　　91.3% of all issued shares
Class and Number of shares　Normal　80,000 shares
Class A preferred　200,000 shares
Class B preferred Class B preferred　146,250 shares

About Seller：
Name　　　　　Class and Number of shares
INCJ, Ltd.　　　Class A preferred 200,000 shares / Class B preferred 21,250 shares
Individuals　　　Normal 80,000 shares

(2) Personnel transfers (Rena Therapeutics)
・Current
Shuichi Toriya　　Outside director
Shoichi Iwamoto　Administration manager
Shingo Horimoto 　-
Jun Sasaki　　　　President & CEO
・New
Shuichi Toriya　　President & CEO
Shoichi Iwamoto　 Director
Shingo Horimoto Outside director
Jun Sasaki 　　　Director　(retirement date is the end of November 2019)

4. Overview of Rena Therapeutics
Name：Rena Therapeutics Inc.
Head Office：Otemachi Financial City Grand Cube 3F, 1-9-2 Otemachi, Chiyoda-ku, Tokyo, Japan
Activity： Manufacturing, Sales and R&D of oligonucleotide
Capital： 100 million yen
Established ： January 15th, 2015
Numbers of shares outstanding： 466,666 shares
End of fiscal year：December 31st
Employees：10 (as of October 2019)
Website：https://www.renatherapeutics.com/?lang=en

5. Forecast
In order to provide the patients oligonucleotide drug even one day earlier, Nippon Shokubai will maximize the synergies of acquisition and keep on working to establish and develop drug development support business.

About NIPPON SHOKUBAI Co., Ltd.: Since 1941, Nippon Shokubai has grown up its business with unique catalyst technology. Nippon Shokubai has supplied, for example, ethylene oxide, acrylic acid, automobile catalysts, process catalysts and so on. Among all, our global market share of superabsorbent polymer is the largest in the world now. Nippon Shokubai is a global chemical company operating under its corporate mission ' TechnoAmenity - Providing affluence and comfort to people and society with our unique technology.' http://www.shokubai.co.jp/en/

【Contacts】
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