Nitto Denko announces acquisition of Avecia Biotechnology

Feb 3 2011

Japan's leading diversified materials manufacturer, Nitto Denko Corporation, today announced that it has acquired Avecia Biotechnology, Inc. through Nitto Americas, Inc., a wholly owned subsidiary in Teaneck, New Jersey.

Located in Milford, Massachusetts, Avecia Biotechnology is a recognized leader in therapeutic nucleic acid manufacturing and development services. Avecia Biotechnology provides services for DNA and RNA based therapeutics to customers from pre-clinical through commercial launch. In addition to cGMP (current Good Manufacturing Practices) manufacturing, Avecia Biotechnology's services include the development of analytical methods, process validation, stability studies, quality control, and regulatory support. Nitto Denko aims to strengthen its business base in the domain of nucleic acid drugs with this acquisition, in light of the industry's great growth potential.

With an unmatched track record in large scale manufacturing and extensive expertise across a broad range of nucleic acid APIs (active pharmaceutical ingredients), Avecia Biotechnology is the market leader in contract manufacturing and related services for nucleic acid drugs. This acquisition represents a significant commitment by Nitto Denko to the nucleic acid drug industry. Nitto Denko will further expand its business in this industry by leveraging the following synergies with Avecia Biotechnology:

1. Strong complementary market positions and client relationships
2. Combined IP and technologies, including drug delivery technologies
3. Improved nucleic acid manufacturing efficiencies and cost of goods with Nitto Denko's proprietary solid polymer support technology
4. Avecia Biotechnology's prime location and expansion possibilities to grow the service offering for the benefit of our clients

Nitto Denko's business development in the domain of nucleic acid drugs
Therapeutic nucleic acid drugs are short fragments of nucleic acids with defined chemical structure (sequence). These compounds have been shown to be effective in the modulation of gene expression in a highly specific manner. As a result, therapeutic nucleic acid drugs have the potential to serve as a novel therapy for various illnesses which conventionally have been difficult to combat.

Nitto Denko already is active in nucleic acid drug technology with its wholly owned subsidiary Nitto Denko Technical Corporation in Oceanside, California. NDT is currently expanding its technological development of the chemical synthesis of nucleic acid drugs.

With the acquisition of Avecia Biotechnology, Nitto Denko will further boost its business base in this drug technology domain by leveraging the additional contract manufacturing business of nucleic acid drugs.