April 29, 2011


Ajinomoto launches new feed-use amino acids subsidiary



Ajinomoto Co., Inc. announced the resolution to launch a new firm in the feed-use amino acids business by establishing a new subsidiary and carrying out an absorption-type demerger.


The newly formed subsidiary will take over parts of this business from Ajinomoto.


By forming a new company and transferring operation of the feed-use amino acids business to the new company through an absorption-type demerger, Ajinomoto intends to make this business more responsive to dynamic global changes in the market environment. Transferring overall control of the feed-use amino acids business through the new company will also enable more flexible decision-making and efficient business operation, thereby allowing Ajinomoto to focus on strengthening its competitiveness.


The feed-use amino acids business in the Ajinomoto Group has a history of more than 40 years. It has opened up markets around the world through science-based marketing and innovative production technology. The Ajinomoto Group has consistently been a leading supplier of the feed-use amino acids lysine, threonine and tryptophan, the key products of this business.


Over the long term, Ajinomoto will seek opportunities for business growth in the broader field of animal nutrition in addition to feed-use amino acids, using innovation to remain a leader in the industry.


Ajinomoto Group plans to sign an absorption-type demerger agreement with Ajinomoto in the second half of September 2011, under which it will take over parts of the feed-use amino acids business as well as supervision and control of Ajinomoto Heartland LLC (USA) and Ajinomoto Eurolysine S.A.S. (France) through ownership of their stock. Ajinomoto will issue a notice as soon as details of the demerger agreement are determined. The planned demerger date is November 1, 2011.