MINEBEA MITSUMI Inc. has announced that MinebeaMitsumi, in coordination with the Development Bank of Japan (“DBJ”), has agreed with the shareholders of C&A Tool Engineering, Inc., a precision machinery metal processing manufacturer (Headquarters located in Churubusco, Indiana, “C&A”), with its products used for medical, aerospace, industrial and fuel systems, to acquire all shares of C&A.
The shareholding ratio in this joint investment is 51% for MinebeaMitsumi and 49% for DBJ.
1. Purpose of the Transaction and the Future Management Policy
MinebeaMitsumi, as its medium-term strategic goal, aims for the net sales of 1 trillion yen or operating income of 100 billion yen for the fiscal year ending March 2021, positions the expansion of the machined components business as one of the important strategies, and endeavors to strengthen the highly-advanced, hard-to-manufacture processing technology in Japan, the U.K. and the United States. In addition, MinebeaMitsumi manufactures the products in Thailand with the aim of reducing manufacturing costs, thereby expanding the production capacity both in Japan and Thailand.
MinebeaMitsumi, centering on New Hampshire Ball Bearing Inc. (“NHBB”), its subsidiary in the United States, in collaboration with myonic GmbH and CEROBEAR GmbH in Germany, has developed the ball bearing markets for aircraft, medical and industrial equipment in the United States as well as the new production technology.
C&A has three manufacturing facilities in Indiana, USA and expects to generate the following business synergies between C&A and our corporate group through the coordination of our corporate group, C&A’s core business and its precision machinery metal processing technology that our corporate group does not possess.