Today,
Densei-Lambda K.K. and Nitto Kohki Co., Ltd. signed a memorandum
on transferring the stocks of the subsidiary of Densei-Lambda
K.K., Shirakawa Densei Co., Ltd.,
to Nitto Kohki Co., Ltd. The estimated value of stocks transferred
is about \2.2 billion.
During the meeting of the board of directors held today, it
was decided to sell the stocks of
Shirakawa Densei Co., Ltd. owned by our firm to Nitto Kohki
Co., Ltd. Our firm will transfer the stocks after incorporating
the business operations of power tools and construction equipment
of our group into Shirakawa Densei.
The incoming president of our firm, Takeo Suzuki, Advisor, remarked on the conclusion of the memorandum as follows:
"I am very pleased that it was agreed to sell our power tools and construction equipment business to Nitto Kohki Co., Ltd. I am convinced that the business will develop under the direction of the new stockholder in the future. Our firm promised our stockholders publicly that we would concentrate on the core business of Power Systems as part of our managerial strategy. We intend to pursue the strategy promptly in order to reinforce our earnings structure and improve our business in the long run.
Densei-Lambda K.K. is the Asian base of Invensys Power Systems. The firm's major activities are the design, development, and manufacture of DC/DC converters and switching power supplies, and the purchase of raw materials. The firm is also engaged in marketing, operation and support services for the power supply and the uninterruptible power supply systems of Invensys Power Systems. Invensys Power Systems (with 16,000 employees and sales of $2.5 billion) is based in the U.S.A. and is known as the world's leader in the fields of power protectors, energy storage, power conversion and telecom energy systems. Invensys Power Systems is one of the four major divisions of U.K. Invensys PLC (having sales of $12 billion). |
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