Osaka, Japan & San Diego, California, May 9, 2011 – Takeda Pharmaceutical Company Limited (“Takeda”) and Fate Therapeutics, Inc. (“Fate”) jointly announced today that Takeda’s corporate venture arm, Takeda Ventures, Inc. (Palo Alto, California, “TVI”) has made an equity investment in Fate Therapeutics, Inc. The investment is consistent with the stated intention of Takeda to develop a stronger foundation in regenerative medicines. Fate Therapeutics is developing innovative products based on the modulation of stem cell pathways. The lead Stem Cell Modulator (SCM) of Fate Therapeutics is FT1050 for enhancing hematopoietic stem cell (HSC) transplant, which is currently undergoing clinical testing at the Dana Farber Cancer Institute and Massachusetts General Hospital in adult patients with hematologic malignancies, such as leukemia and lymphoma.

The discovery engine of Fate Therapeutics utilizes the most advanced biologics and reprogramming technologies for identifying promising points of therapeutic intervention. Fate Therapeutics was named a Top 10 Innovator in Biotechnology for 2010 by Fast Company, and its discovery engine has received numerous accolades, including being recognized as the Top Technology of 2009 by The Scientist and having received the 2009 North American Technology Innovation Award from Frost & Sullivan. Its investors also include ARCH Venture Partners, OVP Venture Partners, Polaris Venture Partners and Venrock, and a syndicate of corporate investors including Astellas Venture Management, Genzyme Ventures and a third undisclosed corporate investor.

“Fate Therapeutics is a world-leading company in stem cell science-based therapeutics, using the most advanced rare cell isolation and cell state characterization technologies to elucidate disease biology and identify selective targets for biologics-based therapeutics. This relationship between Fate and Takeda significantly complements Takeda’s own research and development in regenerative medicine,” said Dr. Graeme Martin, President & CEO at TVI.

“As a recognized leader in metabolic diseases such as diabetes and oncology disease therapeutics, we are delighted for Takeda to support our efforts to develop breakthrough treatments using stem cell modulators,” said Dr. John Mendlein, Executive Chairman of Fate Therapeutics. “We look forward to tapping into the high-caliber scientific and commercial expertise of Takeda as we continue to develop our innovative pipeline of regenerative medicines.”

About Takeda Pharmaceutical Company Limited
Located in Osaka, Japan, Takeda is a research-based global company with its main focus on pharmaceuticals. As the largest pharmaceutical company in Japan and one of the global leaders of the industry, Takeda is committed to strive towards better health for patients worldwide through leading innovation in medicine. Additional information about Takeda is available through its corporate website, www.takeda.com.

About Takeda Ventures, Inc.
Takeda Ventures, Inc. (formerly Takeda Reseach Investment, Inc.)is the corporate venture arm of Takeda Pharmaceutical Company Limited. A wholly owned subsidiary of Takeda America Holdings, Inc., TVI started operations in November 2001 and aims to encourage and support therapeutic innovation through early stage capital investment and provision of access to the resources of a multinational pharmaceutical company.
www.takedaventures.com

About Fate Therapeutics, Inc.
Fate Therapeutics, Inc. is interrogating stem cell biology to develop therapeutics based on modulating cell fate and to enable a new drug discovery paradigm which includes proprietary induced-pluripotent stem (iPS) cell technology. The company’s first therapeutic candidate is now in Ph1b in hematopoietic reconstitution. Fate Therapeutics is a private company headquartered in San Diego, CA with a subsidiary in Ottawa, Canada. For more information, please visit www.fatetherapeutics.com.

Contact Information:

Takeda Pharmaceutical Company Limited
Seizo Masuda, Corporate Communications
+81-3-3278-2037
masuda_seizo@takeda.co.jp

Takeda Ventures, Inc.
Graeme Martin, CEO & President
+1-650-328-2900
graeme.martin@takeda.com

Fate Therapeutics Inc.
Scott Wolchko
Chief Financial Officer
+1-858-875-1800
media@fatetherapeutics.com