Notice Regarding the Transfer of OPSTAR™ Business 

Tokyo, Japan, August 1, 2016- This serves as notification that JSR Corporation (Representative Director and President: Mitsunobu Koshiba, hereinafter referred to as ”JSR”) and ARAKWA CHEMICAL INDUSTRIES, LTD. (President: Shozo Tanioku, hereinafter referred to as ”Arakawa”) agreed that Arakawa would acquire JSR’s OPSTAR™ business.
Taking into consideration recent market conditions and future outlook of OPSTAR™, JSR figured out that restructuring, such as alliance, transfer, etc. would be the best option and have negotiated with Arakawa, although JSR has long been engaged in R&D, manufacturing and sales of OPSTAR™ which are functional coating materials mainly used for liquid crystal display applications.
In conclusion, JSR and Arakawa entered into an agreement to transfer OPSTAR™ business effective on October 1, 2016 as Arakawa could expect technical synergy with its existing business and expansion of its business portfolio by taking chance of the acquisition.
The transfer of OPSTAR™ business will have minimal impact on the consolidated business results of JSR.

<Profile of Arakawa>
 Address 1-3-7, Hiranomachi, Chuo-ku, Osaka, Japan
 Representative President  Shozo Tanioku
 Capital 3,293.7 million yen
 Incorporated January, 1931
 Business Manufacture and sales of chemicals for paper manufacturing, resins for printing inks, resins for adhesives, intermediate materials for electronic materials, etc.