Mitsui Chemicals sells industrial products subsidiary to Maeda Kosen

Mitsui Chemicals announced that it has signed an agreement to transfer all of its shares in Mitsui Chemicals Industrial Products Co., Ltd., a wholly-owned subsidiary, to Maeda Kosen. The transfer is scheduled to take place on April 1, 2025.

The share transfer is subject to the approval of antitrust regulators and the satisfaction of other closing conditions.

Mitsui Chemicals said that the company faces a tough operating environment, including factors such as the maturing domestic industrial materials market in Japan and the soaring raw material costs in recent years.

In this context, Mitsui Chemicals hopes to reach this agreement by becoming a wholly-owned subsidiary of Maeda Kosen, which has a solid business foundation in the industrial materials market, mainly civil engineering materials, to create new value and enhance the corporate value of Mitsui Chemicals Industrial Products.

Maeda Kosen Co., Ltd. was established in 1972 as a company engaged in the construction and maintenance of infrastructure (social infrastructure), and has expanded its business scope to manufacture and sell civil engineering materials in addition to manufacturing, processing and selling industrial materials and nonwoven fabrics made of various fibers as raw materials.

The share transfer will enhance the product range of both companies in the fields of civil engineering and construction materials and complement market access, thereby contributing to the strengthening and development of both companies' existing businesses. The transaction is also expected to expand Maeda Kosen's business areas and secure entry into the pipe materials field, a new business field for the company.