Mitsubishi Heavy Industries merges its three companies

The three companies of the MHI Group, specializing in the manufacture of mechanical systems, electronic controllers, steel pressure pipes, steel structures and other industrial equipment, are joining their business.

The new company, which plans to provide a comprehensive approach to operations in the creation of machines and steel structures, will debut April 1. The formed company will provide a solid corporate structure that allows it to respond flexibly to medium and long-term changes in the business environment, focused on stabilizing the financial base and expanding income.

The new company will improve activities from past businesses, including mechanical and environmental systems and equipment. The brand name MHI-MS will be retained. The new company is set to capitalize at 1 billion yen, with a workforce of around 1,100.

The head office will be located in Kobe. MHI-MC President Nozomu Watanabe will remain as president of the new company. Since the business operations of the three merging units have similar markets and customers in the construction, power generation, and steel industries. At the same time, supply lines will be consolidated into one, reducing procurement costs and thus providing higher added value and improving service capabilities.

In addition, steps will be taken to integrate resources and expertise in construction work. By combining the technologies of the three partners, the new company will strive to further develop existing markets and enter new ones, expanding the areas of its business. MHI plans to work closely with the new company and provide comprehensive support in the development of its business.