PDC and Convergent Ventures Announce Agreement to Form and Fund ORFID Corporation
LOS ANGELES-February 19, 2004 - Precision Dynamics Corporation, a leading manufacturer of healthcare and identification management products worldwide, and Convergent Ventures, a Los Angeles-based venture capital firm,announced today that they have signed a definitive agreement to form a new company called ORFID Corporation. ORFID is based upon patented technology and intellectual property derived from Precision Dynamics' own internal product development efforts in the rapidly expanding field of RFID (radio frequency identification) technology and from fundamental advancements and inventions in materials science and polymer electronics emerging from the laboratoryof Dr. Yang Yang, the scientific founder of ORFID and Professor in the School of Engineering and Applied Scienceat the University of California, Los Angeles (UCLA).
Convergent Ventures and Precision Dynamics will contribute initial management as well as some members of ORFID's Board of Directors and Science and Engineering Advisory Board (SEAB). Convergent and Precision Dynamics will also provide seed funding for ORFID. Dr. Yang will serveas a member of ORFID's Board of Directors and Chairmanof the company's SEAB (Science and Engineering AdvisoryBoard). He will continue as a full-time faculty member at UCLA. Robert Foster, Director of the Center for Management in the Information Economy at UCLA's Anderson School of Business will also join ORFID's Board of Directors.
"We are excited to participate in the founding of ORFID Corporation along with Precision Dynamics and Dr. Yang," said Dr. Jonathan Lasch, a Managing Director at Convergent, who will serve as ORFID's founding Chairman and CEO. "My colleagues and I at Convergent have established a great working relationship and friendship with our counterparts at Precision Dynamics and Dr.Yang. ORFID will have an outstanding team that combines all the right technical expertise, operating resources and entrepreneurial experience to build a successful new company." Dr. Lasch added, "We are happy to locate ORFID in Los Angeles, near UCLA."
Dr. Walter W. Mosher, Jr., co-founder and Chairman of the Board of Precision Dynamics said, "The formation of ORFID Corporation is an important step in Precision Dynamics' evolution from an established manufacturerand distributor of hospital and patron identification management products to a developer and marketer of next-generation healthcare and identification management products incorporating advanced technologies, such as RFID."
Gary Hutchinson, President and CEO of Precision Dynamics said, "ORFID provides an ideal environment in which to foster further innovations in RFID and new technologiess uch as organic displays and biosensors that are not presently a part of Precision Dynamics' core business."
Precision Dynamics is the developer of the Smart Band®identification wristband system. Smart Band® integrates an RFID chip and antenna in a wearable plastic band that can be read by a hand-held reading device or stationery reader. The computer chip on the Smart Band® can contain information about the individual wearer that can be used and updated in many applications, including healthcare, patron management, and corrections.
Dr. Yang, who has served as a consultant to Precision Dynamics, has invented new methods for producing RFID devices on flexible substrates, using conductive polymersand inkjet printing technology. Precision Dynamics and Dr. Yang (via UCLA) are transferring an impressive array of intellectual property to ORFID that will form thefoundation for ORFID's entry into the burgeoning new field of organic semiconductors and flexible electronics.
ORFID's technology will enable manufacturing of new products such as electronic "smart labels", flexible displays, intelligent packaging, electronicpaper, disposable electronics, electronic textiles, biosensors, and medical devices.
Dr. Yang said, "I look forward to guiding the scientific and technical vision of ORFID and to seeing inventions made at UCLA move toward commercialization,and, ultimately, into the hands of manufacturers and even consumers. The possibilities of organic electronicsare limited only by the imagination."
About Precision Dynamics Corporation (PDC)
PDC is a privately held manufacturer with ISO-9001certification.The company is a pioneer in automatic identification technology, having introduced the first patient barcode ID wristband system in 1984 and radio frequency identification (RFID) wristband systems in 2000. In addition
to its expanding line of identification products, PDCalso provides premium healthcare products for labor& delivery, urology, and other applications. For more information, call 818.897.1111 or visit the company's web site at www.pdcorp.com.
About Convergent Ventures
Convergent Ventures is a venture investment and development firm whose goal is to create, fund and manage new lifescience and technology companies in close collaboration with leading scientists from major academic and biomedical research institutions in the Greater Los Angeles area.Convergent's debut fund, now referred to as CV-I, includes ORFID Corporation and Neurion Pharmaceuticals, Inc.,a drug discovery company based on neuroscience research from the California Institute of Technology. Convergent Ventures takes a unique approach to building successful new companies by combining multidisciplinary technical expertise, years of commercial operating experience, and a "hands-on" management approach that helps to ensure the early success of its portfolio companies. For more information, visit www.convergentventures.com.