Deal would make MHMM sole owner of Primetals Technologies
Mitsubishi-Hitachi Metals Machinery (MHMM) and Siemens have reached agreement for MHMM to acquire Siemens’ 49 percent stake in Primetals Technologies.
Closing of the transaction is subject to customary conditions and is expected by early 2020.
Siemens will support the process to ensure a successful closing of the transaction. Following closing, MHMM will assume sole control of Primetals Technologies. Financial details of the transaction were not disclosed.
Primetals Technologies was established in January 2015 and grew out of a long history of innovation in the field of metals production established by its predecessor entities, Mitsubishi-Hitachi Metals Machinery and Siemens VAI.
Primetals Technologies is a worldwide leading engineering, plant-building, and lifecycle services partner for the metals industry offering a complete technology, product, and service portfolio that includes integrated electrics, automation, and environmental solutions.
Its creation was a result of the desire to closely collaborate in the field of metals machinery and develop an enterprise between Mitsubishi Heavy Industries and Siemens that would be renowned for its technical and business excellence.
Takashi Ishizuka, president and CEO, industry and infrastructure of MHI, MHMM’s parent company, says: “I would like to express my deep gratitude to Siemens for their enormous contribution to Primetals Technologies over the past four years and nine months.
“Primetals Technologies has been able to establish a highly successful business through Siemens’ strong leadership and deep experience in the industrial machinery business.
“MHI expects that Primetals Technologies will build on these foundations and strengthen its business in the future.”
Jochen Eickholt, chairman of Siemens portfolio companies, says: “We have successfully brought together our activities in metal plant equipment and have achieved a lot together.
“Now the time is right for Primetals Technologies to develop even further under the full ownership of Mitsubishi-Hitachi Metals Machinery. The agreement with MHI benefits customers, employees, and owners alike.”
Satoru Iijima, CEO and chairman of Primetals Technologies, says: “We have learned a great deal from Siemens’ contributions to Primetals Technologies.
“As a result of Siemens’ focus on productivity, production-related processes, and advanced automation, Primetals Technologies has improved across the board and been able to prepare for the challenges it will face in the coming years.”