Komatsu to Purchase Equity of Service Company for Mining Equipment in Mexico
Komatsu Ltd. (President and CEO: Tetsuji Ohashi) (hereinafter “Komatsu”) has entered, through a Komatsu Group company, the definitive agreement, based on the basic agreement with Mitsui & Co., Ltd. (President and CEO: Mr. Tatsuo Yasunaga) (hereinafter “Mitsui”) announced on April 27, 2015, in which Komatsu is going to purchase, through the said Group company, 60% of equity of Road Machinery Co., S.A. de C.V (hereinafter “Road Machinery”), Mitsui’s subsidiary in Mexico which services Komatsu mining equipment. On a premise of approval of concerned authorities, Komatsu is working to complete the purchase around February 2016.
After purchasing the 60% of the equity of Road Machinery, Komatsu plans to integrate Komatsu Maquinarias Mexico S.A. de C.V. (KMEX), a Komatsu’s indirect wholly-owned subsidiary held through Komatsu Group companies and a distributor of Komatsu construction equipment, and Road Machinery around April 2016 to establish a new distributor of construction and mining equipment, with equity shares of 60% owned by Komatsu and 40% by Mitsui.
Komatsu positions Mexico as an important market of its construction and mining equipment business. Accordingly, Komatsu is working for further growth by taking the leadership role of managing this distributor which covers both construction and mining equipment as an original equipment manufacturer.
Komatsu expects a minimal effect on its consolidated business results from the transaction above.
[Outline of Road Machinery Co., S.A. de C.V.]
|Name:||Road Machinery Co., S.A. de C.V.|
|Located:||Mexico City, Mexico D.F., The United Mexican States|
|Representative:||Mr. Gonzalo Barcelo Miranda|
|Line of business:||Product support for Komatsu mining equipment|
|No. of employees:||715 persons (as of October 31, 2015)|
[Outline of Komatsu Maquinarias Mexico S.A. de C.V.]
|Name:||Komatsu Maquinarias Mexico S.A. de C.V.|
|Located:||Apodaca, Nuevo Leon C.P., The United Mexican States|
|Representative:||Manuel Eduardo Bennett Olivares|
|Line of business:||Sales and product support for Komatsu construction and mining equipment|
|No. of employees:||243 persons (as of October 31, 2015)|
Information in the news releases is current on the date of the announcement and is subject to change without notice.