Monday, October 4, 2004

Movers & Innovators

From Asia to R.I., exec makes most of chances

By Dyke Hendrickson

In an era in which globalization has become a buzzword, William Lee appears prepared for the offshore opportunity.

He is CEO and cofounder of eMembrane Inc., a Providence, R.I., startup focused on a proprietary technology known as nanografting of combinatorial polymer brushes.

Lee speaks seven languages, including English, Japanese, Malay and several dialects of Chinese.

His company is based in Rhode Island but has already launched an operation in Japan. The company is looking to launch an outlet in China as well.

Oh, yes. The startup recently won the grand prize of the fourth annual MIT Enterprise Forum of Japan. This is a

Asian offshoot of the MIT $50K Entrepreneurial Competition held in Cambridge, and Lee feels that it will provide a boost to his company in both in the U.S. and Asia.

"Winning the business plan competition in Tokyo was a good way to draw attention of venture capitalists in Asia," said Lee, a native of Malaysia.

"We are looking for money, and we've had interest since the event. The VCs that we talked to are doing due diligence right now."

Lee and Jeff Morgan of Brown University started eMembrane four years ago in Cambridge. The company moved to Providence in part to take advantage of incentives offered by the Slater Center for Biomedical Technology, which offered a grant of $345,000.

Company officials say the technology "functionalizes common polymeric materials, membranes and films by adding to their surface long polymer brushes at a high density that bestow onto these materials new high value added functions and enhanced performance."

These polymer brushes have chemical groups that perform novel and varied functions such as binding of specific target molecules, enhancements to adhesion or improvements to conductivity.

One of its applications would be used to produce a non-woven cloth that absorbs and neutralizes odors. Polymer brushes are grafted onto this cloth.

The company's business strategy also focuses on using its core technology to convert conventional films, membranes and materials into high value-added products for new applications including electronic films.

The technology was licensed from a company in Japan, which is why Lee entered the MIT competition there.

He has strong ties to several countries. After growing up as the son of two high-school graduates of modest income, Lee received his college and graduate education in Japan. During a period in which he earned several degrees, he also held positions including tenures with the Japan Atomic Energy Research Institute and the Japan Society for the Promotion of Science.

From 1999 to 2000 he was an investment officer with Jafco Co. Ltd., the largest venture capital firm in Japan.

He left the VC firm to develop technology in his own company.

Now Lee has staked his claim in Rhode Island, drawn by cheaper costs and the encouraging offices of the Slater Institute. The company, which employs 12 in Providence and Japan, won only $5,000 for the recent MIT business plan competition.But he and his partners hope to raise several million this fall.

"The MIT competition in Tokyo offers less money (than in Cambridge) because it has fewer entrants," he said. "About 47 business plans were offered, and only two from the U.S. were chosen.

"We have VCs who are interested, and we hope to raise money to keep growing in coming months."