Tokuyama Corporation (hereinafter referred to a "the Company" or "Tokuyama") hereby announces that it has established the production and sales subsidiary, STAC Co., Ltd. (hereinafter referred to as "STAC") on August 26, 2022, following the decision to establish a joint venture in South Korea with SK Geo Centric Co., Ltd. (hereinafter referred to as "SKGC") for the purpose of producing and selling high-purity isopropyl alcohol (IPA) for the electronics industry, details of which were announced on December 22, 2021.

This initiative is designed to meet the needs of customers in South Korea, which is one of the world's leading semiconductor industry hubs. Drawing on the supply of propylene by SKGC, STAC will put in place an integrated production system for high-purity IPA for the electronics industry with operations slated to commence in July 2024.

Tokuyama has positioned the electronic materials field as a growth business under its Medium-Term Management Plan 2025 and will support the growth and technological innovation of the semiconductor industry through the global supply of semiconductor-related materials, including this business.