Since 2021, NIPPON SEIKO CORPORATION (hereinafter referred to as NSK) and CHITOSE, a biotechnology company that is leading the global bioeconomy, have been engaged in entrepreneurial activities for biomass recycling. In the spring of this year, the two companies also made some progress on the road to commercialisation by selling a compost production plant that they had jointly developed. To further strengthen the partnership, NSK invested 500 million yen in CHITOSE BIO EVOLUTION PTE. LTD., the holding company of CHITOSE, and signed a business cooperation agreement with CHITOSE Research Institute, a core company of the group, to further expand and innovate the business direction for future development.
NSK representative: Akitoshi Ichii (left) and CHITOSE representative: Tomohiro Fujita (right), who have been promoting biomass-related entrepreneurial activities with the CHITOSE Group to date, have decided to invest in the CHITOSE Group and establish a new partnership. We decided to invest in the CHITOSE Group and establish a new partnership to expand our biomass business and create new business together.
Message from the representative
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We believe that the bioeconomy is expected to grow rapidly in the food, environment, and healthcare sectors, and that it is expected to grow significantly in the future, and that we will contribute to the realisation of a recycling-based society by strengthening our partnership with CHITOSE, which has a wealth of knowledge and business experience in this field, and by expanding our business areas using NSK tribology and manufacturing technologies.
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The CHITOSE Group has long provided Japan and Southeast Asian countries with effectively proven recycling solutions, such as recycled hydroponic cultivation using organic raw materials and microalgae farming using carbon dioxide from exhaust gases. By combining NSK’s technological strength in the field of precision equipment with our accumulated know-how, we will be able to take a new step toward realising the future of a recycling-based society. tomohiro fujita, CHITOSE
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■ Supplementary Information
1. Detailed Information on Previous Collaborations NSK and the CHITOSE Group are exploring collaboration in the field of biomass recycling in 2021, taking advantage of the business strengths of both companies. Based on NSK’s proud mechatronics technology, the two companies have developed a composting plant for zoos and resorts that converts unused biomass (animal manure, food scraps, etc.) into a resource. The newly developed compost production equipment was first launched for sale in the spring of 2024, and further sales expansion is planned for the future.
＜Concept and features of the newly developed compost production facility
Concept: The aim is to make ‘composting’ visible to a wider audience, to turn unused biomass into resources, and to deepen the understanding of resource recycling by observing microbial operations from both the exterior and interior of the plant.
Features ① Barrel-shaped design for a more eye-catching appearance ② A visual monitoring system is installed to observe the microbial ‘composting’ process that is invisible to the naked eye.
△ Compost production equipment (testing machine)
△ Display of the monitoring system of the compost production facility (allows visual observation of the progress of composting and the temperature of the biomass)
2.Initiatives to strengthen relationships
1) About investment
Investment target: CHITOSE BIO EVOLUTION PTE. LTD.
Amount: 500 million yen
Investment method: Directed share issuance to a specific target group
Equity acquisition date: 11 September 2024
(2) Business Co-operation Agreement
Partner: CHITOSE RESEARCH INSTITUTE CO.
Content of cooperation:
①Expansion of biomass recycling business
②Exploration of new business opportunities centering on the biomass recycling field.
Effective date: 1 October 2024
■ Introduction to the CHITOSE Group The CHITOSE Group is a biotechnology company that leads the global bioeconomy, and in cooperation with governments and many corporations, we are working to create an environment in which human beings can enjoy an abundant life for the next thousand years by spreading our technologies to society while achieving economic rationality.