NEWS RELEASE

Teijin and CoreTissue BioEngineering Agreeon Alliance to Mass Produce Artificial LigamentTokyo, Japan, August 6, 2020 --- Teijin Limited and CoreTissue BioEngineering Inc.
(CTBE) jointly announced today their agreement on a capital and business alliance tojointly develop the world’s first mass-produced artificial ligament using decellularization
technology to remove cellular components that cause rejection and then use theremaining “good” tissue for the artificial ligament. Teijin and CTBE aim to start clinical
trials in 2022 for marketing in Japan and the U.S.
The Teijin–CTBE alliance is based on synergies in development fields, businessstrategies and proprietary technologies. CTBE will develop an artificial ligament derived
from decellularized animal tissue for reconstruction surgery of knee anterior cruciate
ligament (ACL), which connects the thighbone and shinbone, and seek approval for
manufacturing and marketing, while Teijin will develop the technology for mass
production with CTBE.

Starting biological tissue for artificialligament

Lyophilized artificial ligament
after decellularization

The alliance will enable Teijin, aiming to be a company that supports the society of thefuture, to pursue its vision of creating innovative healthcare treatments that respond todemographic change and increased health consciousness in global society. CTBE todevelop its first commercial artificial ligament from biological tissue, which so far has
been a medical difficulty.
Currently, ligament reconstruction surgery for an ACL injury involves grafting a healthy
autologous tendon harvested from the patient. This highly invasive procedure cancause pain, result in limited motion and is difficult to repair later if another rupture occurs.
Using decellularization technology to develop the world's first mass-produced artificial
ACLs would enable ligament reconstruction surgery without having to graft autologous
tendons. It also would expand treatment options for patients who rupture a previously
treated ACL or have multiple ligament ruptures.
Decellularization removes cellular components that cause a patient’s body to reject
biological tissue transplanted from another human or animal. The remaining supporting

tissue (extracellular matrix), which retains its three-dimensional structure, is then usedas transplantable tissue. It is greatly anticipated that artificial ligaments can be
developed with the unique decellularization technology. Using a bovine tendon,
antigens that lead to rejection can be eliminated by removing the problem cells whileleaving the higher tissue structure intact and mechanical strength. The transplanted
artificial ligament, having been made biocompatible through decellularization, isexpected to gradually replace the patient's own tissue after surgery and eventually
generate a self-made ligament.
ACL injuries, which usually occur during sports, amount to approximately 20,000* cases
in Japan and 180,000** cases in the U.S. annually. In most cases, ligament
reconstruction surgery is indicated.
* Ministry of Health, Labor and Welfare NDB Open Data (2017.4-2018.3)** Werner BC, Trends in Pediatric and Adolescent Anterior Cruciate Ligament Injury and Reconstruction, J
Pediatr Orthop. Volume 36, Number 5, 2016, pp. 447-452(6)Teijin is contributing to quality of life of diverse patients through solutions formusculoskeletal diseases, including drugs for treating osteoporosis, medical devices
such as sonic accelerated fracture healing system, and medical materials such as
artificial joints.
CTBE is enhancing the unique decellularization technology that was first developed byProfessor Kiyotaka Iwasaki of the Faculty of Science and Engineering of Waseda
University. CTBE is also enhancing a sterilization technology to maintain the strength of
biological tissue for diverse applications, such as implantable orthopedic devices,
regenerative medicine and drug development using its own technology. Commercialization
is being funded by Waseda University and grants from the National Research andDevelopment Agency, Japan Science and Technology Agency, Japan Medical Researchand Development Agency, and the Ogasawara Science and Technology Foundation.
About the Teijin GroupTeijin (TSE: 3401) is a technology-driven global group offering advanced solutions in thefields of environmental value; safety, security and disaster mitigation; and demographic
change and increased health consciousness. Originally established as Japan's firstrayon manufacturer in 1918, Teijin has evolved into a unique enterprise encompassing
three core business domains: high-performance materials including aramid, carbon
fibers and composites, and also resin and plastic processing, films, polyester fibers andproducts converting; healthcare including pharmaceuticals and home healthcare
equipment for bone/joint, respiratory and cardiovascular/metabolic diseases, nursing
care and pre-symptomatic healthcare; and IT including B2B solutions for medical,
corporate and public systems as well as packaged software and B2C online services for
digital entertainment. Deeply committed to its stakeholders, as expressed in the brandstatement “Human Chemistry, Human Solutions”, Teijin aims to be a company that
supports the society of the future. The group comprises more than 170 companies andemploys some 20,000 people across 20 countries worldwide. Teijin posted consolidated
sales of JPY 853.7 billion (USD 8.0 billion) and total assets of JPY 1,004.2 billion (USD9.4 billion) in the fiscal year that ended on March 31, 2020.
About CoreTissue BioEngineering Inc.
CoreTissue BioEngineering Inc. is a start-up company, spun out from Waseda
University in 2016. The company is focusing on commercialization of the artificialligament made from decellularized animal tissue for the reconstruction surgery of theanterior cruciate ligament injuries.
Press Contact
Corporate Communications
Teijin Limited
pr@teijin.co.jp
CoreTissue BioEngineering Inc.
+ 81 3 6228 0053
info@coretissue.com