Arab Today, arab today hitachi and mitsubishi \to open merger talks\
Last Updated : GMT 10:22:21
Arab Today, arab today
Arab Today, arab today

Hitachi and Mitsubishi \'to open merger talks\'

Arab Today, arab today

Arab Today, arab today Hitachi and Mitsubishi \'to open merger talks\'

Tokyo - AFP

Japanese manufacturing giants Hitachi and Mitsubishi Heavy Industries are to start merger talks, reports said Thursday, as they look for growth beyond a shrinking domestic market and battle a strong yen. The two companies have combined annual sales of more than 12 trillion yen ($155 billion) and the move would create a Japanese industrial behemoth and one of the world\'s biggest infrastructure firms. Hitachi\'s president was reported as saying his company and Mitsubishi Heavy Industries had agreed to start merger talks. We will negotiate a merger from now,\" Hitachi president Hiroaki Nakanishi told reporters in Yokohama, near Tokyo, according to Kyodo news agency. Kyodo and other media quoted sources saying the two firms aimed to integrate infrastructure businesses such as railways and power stations, in early 2013. The news boosted shares of the two companies. Hitachi was up 3.23 percent at 478 yen in late morning trade and Mitsubishi Heavy Industries was up 4.58 percent at 365 yen. \"With opportunities for the social infrastructure business expected to expand especially in emerging countries like China and India, the two Japanese companies on their own do not have sufficient management resources to compete globally,\" said Yukihiko Shimada, an analyst at SMBC Nikko Securities. \"If they can complement each other in this aspect and effectively merge their operations, there will be a positive synergy,\" he said. The companies declined to confirm the reports. Hitachi said in a statement that the merger talks were not \"what we have decided or announced,\" while Mitsubishi Heavy said it had not decided on the move or planned to do so. Analysts say further consolidation is needed in a Japanese corporate space that has too many companies making the same products compared with the likes of South Korea and industrial champions such as Samsung. Earlier this year Japan\'s biggest steelmaker Nippon Steel and third-ranked rival Sumitomo Metal Industries said they were working towards a merger that would create the world\'s second-largest steel firm by 2012. Mitsushige Akino, chief fund manager at Ichiyoshi Investment Management, said \"there is a very strong sense of crisis\" between Hitachi and Mitsubishi. \"It\'s positive that these talks are happening when the companies are on the brink of losing their competitiveness,\" he said. The continuing crisis at the Fukushima nuclear plant has raised uncertainty over the future of their atomic power businesses, while the strength of the yen has made it more expensive for exporters to produce their goods domestically. The yen had been hovering near its highest level since World War II in the past weeks, prompting Japanese authorities on Thursday to step into the market to weaken it. Hitachi, Japan\'s largest maker of electrical machinery, said last week its net profit plunged 96.6 percent to 2.9 billion yen ($37 million) in the April-June quarter, citing the impact of the March 11 earthquake and tsunami. It has been facing pressure to curb some of its unprofitable lines and focus more on core businesses. It said Wednesday that it was considering shifting all television production to foreign outsourcing firms by March as part of a broad strategy to increase profitability. Mitsubishi Heavy is Japan\'s largest heavy machinery manufacturer, with product lines ranging from ships, nuclear power plants, aerospace and engines. It is also Japan\'s largest military contractor. It was to announce its quarterly earnings later Thursday.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today hitachi and mitsubishi \to open merger talks\ Arab Today, arab today hitachi and mitsubishi \to open merger talks\

 



Arab Today, arab today
Arab Today, arab today Laptop ban sparks ire

GMT 09:02 2017 Thursday ,23 March

Laptop ban sparks ire
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today Dozens dead in US-led Syria strikes

GMT 08:35 2017 Thursday ,23 March

Dozens dead in US-led Syria strikes
Arab Today, arab today Tunisian media host praises her new experience

GMT 12:35 2017 Wednesday ,15 March

Tunisian media host praises her new experience
View News in Arabic - Business: أخبار الشركات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Yemeni official warns education is under threat

GMT 12:03 2017 Tuesday ,14 March

Yemeni official warns education is under threat
Arab Today, arab today 2017 already marked

GMT 15:25 2017 Tuesday ,21 March

2017 already marked
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Renault Trezor wins design award

GMT 11:56 2017 Tuesday ,21 March

Renault Trezor wins design award
Arab Today, arab today Palestinian police wage war

GMT 07:53 2017 Friday ,17 March

Palestinian police wage war
Arab Today, arab today Donia Abdel Aziz participates in "Game of Silence"

GMT 07:12 2017 Tuesday ,21 March

Donia Abdel Aziz participates in "Game of Silence"
Arab Today, arab today Mexico threatens to ditch US corn imports

GMT 10:34 2017 Tuesday ,21 March

Mexico threatens to ditch US corn imports

GMT 07:39 2017 Monday ,20 March

Dalia Mustafa believes in the presence of ghosts

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection

GMT 16:41 2017 Monday ,20 March

Preserving the memory of glaciers

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 13:11 2017 Tuesday ,21 March

Web-based counseling lowers blood pressure

GMT 10:18 2017 Tuesday ,21 March

Kuwait's tourism industry to be worth

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 22:39 2017 Thursday ,09 March

Zuhair Murad presents his new collection "Resorts"
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday