ITOCHU Announces the Integration of ITOCHU MACHINE-TECHNOS Corporation and ITOCHU SysTech Corporation

February 7, 2022

ITOCHU Corporation (headquartered in Minato-ku, Tokyo; Keita Ishii, President & COO; hereinafter “ITOCHU”) announced today the integration of its subsidiaries ITOCHU MACHINE-TECHNOS Corporation (headquartered in Chiyoda-ku; Tokyo; Yoshiaki Hongo, President & Chief Executive Officer; hereinafter "ITOCHU MACHINE-TECHNOS") and ITOCHU SysTech Corporation (headquartered in Osaka-shi, Osaka; Shigenobu Matsumoto, President & Chief Executive Officer; hereinafter "ITOCHU SysTech"). The integration will take effect on April 1, 2022. The name of the surviving company will be ITOCHU MACHINE-TECHNOS Corporation. Operations that have been conducted by ITOCHU SysTech will be taken over by the new ITOCHUMACHINE-TECHNOS.

Utilizing its bases in Japan and overseas in places such as China, the United States and Mexico, and utilizing the ITOCHU group's networks, ITOCHU MACHINE-TECHNOS sells a diverse array of machines such as machine tools, food & pharmaceutical machinery, machines for manufacturing paper, plastics and semiconductors, and environment and recycling-related machinery, while also engaging in the plant engineering business. ITOCHU SysTech has been conducting sales of textile machines, nonwoven fabric machines, and machines for the manufacture of plastics, secondary batteries and semiconductors, as well as technical services, including the maintenance of the machines they sell, utilizing its bases in Japan and overseas in places such as China, Taiwan and Pakistan in addition to the ITOCHU group's networks.

The business environment surrounding the manufacturing industry has been changing significantly in recent years, reflecting the SDGs, decarbonization and growing interest in DX, IoT, automation technology and other factors, and manufacturers are expected to respond to diversified customer needs. Against this background, measures must be promptly taken to address the issues that are faced as a result. By unifying the two companies' resources through the integration, efforts will be made to expand business areas and increase the number of industries covered, provide an array of services to meet the needs of each individual customer, sell and maintain machines, thereby seeking to provide solutions to issues that are faced by a broad range of customers and industries.

Based on its market-oriented operations, the revitalized ITOCHU MACHINE-TECHNOS will engage in cross-industry and cross-functional efforts to fulfill the diversifying needs of customers and enhance its features with an eye toward the implementation of strategic mergers, acquisitions and other measures, and by doing so, strive to achieve further growth as one of the core ITOCHU group operating companies.

The integration is consistent with the Basic Policies of ITOCHU's Brand-new Deal 2023, its medium-term management plan, which include a "business transformation through the incorporation of consumer needs into products," and the "continued contribution to/efforts to achieve the SDGs." ITOCHU will continue to contribute to the development of a sustainable society by providing solutions from the customer's perspective and advancing a range of initiatives such as efforts to strengthen the Group in the environmental and recycling business areas.

Company Profile

Company name ITOCHU MACHINE-TECHNOS Corporation
Head office Sanno Grand Building 3rd and 7th floors, 2-14-2 Nagata-cho, Chiyoda-ku, Tokyo
Established April, 1966
Capital 300 million yen
Number of employees 347 (consolidated and as of January, 2022)
Net sales 31.4 billion yen (FY2020 results)
Business description Machine tools, food & pharmaceutical machinery, machines for the manufacture of paper, plastics and semiconductors, environment and recycling-related machinery, and plant engineering services
Domestic bases Tokyo (headquarters), Osaka, Nagoya, Hiroshima, Hokkaido, Fukuoka, Kumamoto and Shizuoka
Overseas bases China, the United States and Mexico
Company name ITOCHU SysTech Corporation
Head office Itoh Bldg. 9F, 3-6-14, Minami-Honmachi, Chuo-ku, Osaka
Established April, 1969
Capital 480 million yen
Number of employees 195 (consolidated and as of January, 2022)
Net sales 14.9 billion yen (FY2020 results)
Business description Sale of industrial machinery and the provision of the maintenance and related technical services in the areas of textile machines, nonwoven fabric machines, plastics, and secondary batteries/ semiconductors
Domestic bases Osaka (headquarters), Tokyo, Nagoya and Ehime
Overseas bases China, Taiwan and Pakistan