The High Performance Plastics Company (President: Takayoshi Matsunaga) of SEKISUI CHEMICAL CO., LTD. (President: Naofumi Negishi, hereinafter Sekisui Chemical) has announced plans to merge two subsidiaries related to medical business in China, in order to enhance business in that market.
1. | Background Until now, BEIJING SEKISUI TRANK MEDICAL TECHNOLOGY CO., LTD. (hereinafter Sekisui Trank) has handled business development in China in the area of vacuum blood collection tubes, and SHANGHAI DAIICHI DIAGNOSTICS, CO., LTD. (hereinafter Shanghai Daiichi) has handled business development in China in the area of clinical reagents. Sekisui Trank, established as a joint venture with a Chinese firm, manufactures and sells vacuum blood collection tubes. In addition to its plant in Beijing, it also has sales facilities located across China, and it is achieving steady sales growth including exports to Asian markets. Shanghai Daiichi provides support for the activities of sales agents in China for reagents exported by SEKISUI MEDICAL CO., LTD. (hereinafter Sekisui Medical). Against a background of a growing Chinese market for reagents, in recent years the value of exports has continued to increase from year to year. |
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2. | Outline of this merger With this merger, Shanghai Daiichi will be merged into Sekisui Trank, to form a major facility in the Chinese market. Plans call for the merger procedures to be completed in September of this year. Also, plans call for the Sekisui Trank plant that currently produces vacuum blood collection tubes to begin production of clinical reagents as well following the merger. Also, in advance of this merger Sekisui Chemical accepted transfer in December of last year of a 15% of equity stake held by a Chinese joint-venture partner of Sekisui Trank, increasing its stake in the company from 85% to 100%. Furthermore, in February of this year the name of Sekisui Trank was changed to SEKISUI MEDICAL TECHNOLOGY (CHINA) LTD., to develop a unified brand image and increase its presence in the medical industry in China. |
3. | Objectives of this merger Carrying out this merger is intended to enhance customer service through development of a structure for serving the Chinese market even more closely than before and to grow the medical business in China and optimize management of the business. In addition, the new company resulting from the merger will begin import, manufacture, and sale of clinical reagents in addition to vacuum blood collection tubes.
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4. | Business objectives The merged company will aim to achieve net sales of 3 billion yen in 2013. |
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5. | Outline of the merged company
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Reference:
1. | Outline of BEIJING SEKISUI TRANK MEDICAL TECHNOLOGY CO., LTD.:
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2. | Outline of SHANGHAI DAIICHI DIAGNOSTICS, CO., LTD.:
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Disclaimer
This press release may contain forward-looking statements. Such forward-looking statements are based on current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements due to changes in global economic, business, competitive market and regulatory factors.
This press release may contain forward-looking statements. Such forward-looking statements are based on current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements due to changes in global economic, business, competitive market and regulatory factors.