RNS Number:4726M
Secure Design KK
22 November 2006


FOR RELEASE                         7.00AM                      22 November 2006


                                Secure Design KK


                     Secure Design proposed acquisition of

                    up to 20% of Japan Secure Generation Ltd


Secure Design KK ("Secure Design" or the "Company"), the Japanese developer of
biometrics fingerprint authentication technology, announced that the Company
will acquire 1,570 shares in Japan Secure Generation Ltd ("SecuGen Japan") from
SecuGen Japan shareholders, representing approximately 20% of the SecuGen Japan
issued share capital, for a total consideration of Y66.5m (#297,000) to be paid
through the issue of 270,000 new ordinary shares in Secure Design (the "New
Shares"), representing approximately 0.86% of Secure Design's enlarged share
capital.


The acquisition of the shares in SecuGen Japan is expected to be completed on 15
December 2006. Admission to AIM and Dealings in the New Shares is also expected
to take place on 15 December 2006.


SecuGen Japan is one of Japan's leading fingerprint authentication businesses
with sales of approximately Y600m in the year to 31 December 2005. Secure Design
and SecuGen Japan announced on 18 April 2006 that they had entered into an
alliance to sell Secure Design's ITube(TM) range of optical fingerprint image
scanners. Since April SecureGen Japan has sold over Y100m (#440,000) ITube(TM)
products and authentication server solutions. The ITube(TM) product range offers 
a wide variety of PC security solutions including a corporate network security
tool, a secure email exchange tool and a data escrow service for the ITube(TM)
memory content.


Since the announcement the alliance has expanded to include Secure Design's
other IT security solutions and the Secure Design Board believe that there are
opportunities to leverage further the business relationship between the two
companies and for Secure Design to increase sales through SecuGen Japan's sales
network.


For further information, please contact:

Secure Design KK

Satoshi Takahashi (Chief Executive Officer) Japan +81-3-3516-9303

Shinil Cho (Chief Information Officer)      United Kingdom +44(0) 7738 842 662
                                            Japan          +81-3-3516-9303
                                            United States  +1-412-367-7063

Masahiro Nishikawa (Senior Manager of Business Planning)   +81-3-3516-9303

Charles Stanley Securities                                 +44(0) 20 7953 2000
Russell Cook
Freddy Crossley


Cubitt Consulting
Brian Coleman-Smith / Allison Reid / Leanne Denman         +44(0) 20 7367 5100
                                                    Mobile +44(0) 7802 724 400


Background Note on Secure Design

On 14 July 2006, Secure Design was the first Japanese company to be admitted to
trading on AIM. It offers fingerprint authentication products to companies and
individuals that wish to establish high levels of security using biometrics.
Biometrics uses a physical attribute of the body, such as a fingerprint to
identify and verify the individual with the aim of making individual
authentication efficient and secure.

The Company offers a range of fingerprint authentication products and systems,
from an integrated system to a mobile device. The Company designs and outsources
the production of these products and can tailor them to individual client
specific needs and applications.

Biometric applications provide convenient and reliable security which reduces
the cost associated with the failure of conventional authentication methods. The
principal factor which distinguishes biometrics from conventional password based
authentication is the enhanced security level it provides while maintaining the
privacy of individual users.

The worldwide demand for biometrics is estimated to be increasing by
approximately 30 per cent per year with the market estimated to grow to almost
$6 billion by 2010 from $2 billion in 2006. Biometric applications and systems
are already being used for security in personal, commercial, government and
military organisations. Many governments, including the UK, have adopted or are
currently reviewing the need for biometric applications in passport and national
ID card systems. The Directors believe that as biometric applications in
national identification become commonplace the commercial applications will
proliferate. The commercial market for biometrics is expanding to financial, IT,
telecommunication and medical segments.


Secure Design KK      http://www.securedesign.jp/

Established:          November 2005

Capital:              JPY 572.5M (as of November 2006)

Issued stocks:        31,450,000 issues

Listed:               London Stock Exchange (Alternative Investment Market)

Code:                 SDKK.L

Closing month:        December

Location:             Headquarters

                      Nihonbashi 2-chome Building

                      2-2-6, Nihonbashi, Chuo-ku, Tokyo 103-0027 Japan

Tel:                  +81-3-3516-9303 Fax: +81-3-3516-8810

                      R&D Center

                      Kogane Building, 2-2-15, Shiba, Minato-ku, Tokyo 130-0056

President:            Satoshi Takahashi

Business:             R&D, Sales, and licensing of biometrics fingerprint 
                      authentication products. Development & sales of security 
                      solutions.


SecuGen Japan Ltd.    http://www.secugen.co.jp/

Established:          January 2000

Capital:              JPY 180M

Issued stocks:        7,846 shares

Closing month:        December



Location:             Headquarter

                      Tsukiji MF Bulding 26

                      2-12-10, Tsukiji, Chuo-lu, Tokyo 104-0045 Japan

                      Tel: +81-3-5565-7911 Fax: +81-3-5565-7930

President:            Shigetaka Akiba

Business:             Design and sales of fingerprint authentication security 
                      systems, sales & supports to assembly vendors of 
                      fingerprint authentication

                      Import & sales of fingerprint authentication mice & 
                      devices



                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
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