Yip’s Chemical to establish research and development centre in Shanghai

Phase 1 of the company’s Zhangjiang Hi-Tech Park operation to start in the second half of next year.

Yip’s Chemical Holdings Limited (“Yip’s Chemical”), the world’s largest manufacturer of acetate solvents and one of China’s largest manufacturers of petrochemical products, announced it has signed a ten–year agreement with Shanghai Zhangjiang Biotech & Pharmaceutical Base Development Co., Ltd. to rent a four-storey building in Shanghai Zhangjiang Hi-Tech Park. The building with an area of 5,625 sq.m. (approximately 56,250 sq.ft.) floor space will serve as the Group’s Research and Development Centre. The Centre is expected to commence operation in the second half of next year and the number of R&D professionals is expected to reach 100 by 2015. Investment for Phase 1 will be around US$5,000,000 (approximately HK$39,000,000), which is going to be financed through internal resources of the Group.

Located in central Pudong New District, Shanghai Zhangjiang Hi-Tech Park is a major high-technology park in China, attracting hundreds of organisations and enterprises, as well as serving as the regional technology incubation base and advanced chemical R&D centre for many multi-national enterprises, such as Dow Chemical, DuPont, GE and Celanese. The Research Institute of Fudan University in Shanghai is also located in the Park, thus facilitating technology exchanges among industries and attracting related experts. In addition, the Park enjoys a geographical advantage, being only 30 minutes drive to either Pudong Airport or Hongqiao Airport, and just 17 km away from the Shanghai Railway Station.

The signing ceremony held at the Hong Kong Convention and Exhibition Centre is co-organised by The People’s Government of Pudong New Area and Hong Kong Trade Development Council. Mr Wong Kam Yim, Kenny, Chief Executive Officer of Yip’s Chemical, and Mr Wang Lan Zhong, General Manager of Shanghai Zhangjiang Biotech & Pharmaceutical Base Development Co., Ltd. signed the agreement, according to a Yip Chemical report.

Mr Wong Kam Yim, Kenny, Chief Executive Officer of Yip’s Chemical, said, “We hope our R&D Centre will become an advanced R&D institution in the industry in the coming three to five years. This will further enhance our R&D capability, facilitate our development of more new products and generate greater synergies with our existing businesses, thereby helping us achieve our sales target of HK$10 billion by 2014.”