Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 

4-Traders Homepage  >  Equities  >  Tokyo  >  Nippon Steel & Sumitomo Metal Corp    5401   JP3381000003

SummaryChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector news 

Nippon Steel & Sumitomo Metal Corp : Integration of Bar & Wire Processing Companies in Thailand

share with twitter share with LinkedIn share with facebook
share via e-mail
0
10/30/2012 | 02:21pm CEST

Oct. 02, 2012

Nippon Steel & Sumitomo Metal Corporation


Integration of Bar & Wire Processing Companies in Thailand

Nippon Steel & Sumitomo Metal Corporation (hereinafter referred to as the "Corporation") has announced that, with respect to Steel Processing (Thailand) Company Limited (hereinafter referred to as "SP") and Nippon Steel Bar & CH Wire (Thailand) Company Limited (hereinafter referred to as "NBC Thai"), which are bar and wire processing companies in Thailand, it has decided to integrate these companies with a plan of completing in January 2013, and, accordingly, that these two companies have signed a merger agreement on October 1, 2012.

The name of the integrated company is NIPPON STEEL & SUMIKIN Steel Processing (Thailand) Company Limited (hereinafter referred to as the "Integrated Company") and is scheduled to be a consolidated subsidiary of the Corporation.

1. Purpose of the Integration
SP was established in 1997 as a subsidiary of the former Sumitomo Metal Industries Ltd., and NBC Thai was established in 2006 as a subsidiary of the former Nippon Steel Corporation. Since then, the two companies, as bar & wire processing companies highly capable of responding to technological, quality, and delivery requirements, have been supportive and contributory to the growth and development of Japanese-affiliated automakers, machine parts makers, and other customers in the Thai market.

In this promising growth market of Thailand, aiming to meet demand appropriately and to establish a more efficient management structure, the Corporation has decided to integrate these subsidiaries.

The Integrated Company, supported by the Corporation and other equity-holders, namely, other bar & wire processing companies, regarding aspects of technology and quality, will be producing high-quality steel bar & wire. The production capacity will be 84,000 t/y of steel wire for cold heading & cold forging and 18,000 t/y of cold-finished steel bars. This will rank it the largest scale among the Japanese-affiliated bar & wire processing companies in Southeast Asia. With all of its production capacities and abilities to respond to requests for high-quality products, the Integrated Company will be responding to the expanding and increasingly severe requirements of customers.

2. Summary of the Integration

(1) Method of the Integration
 In accordance with the laws and regulations of Thailand, the integration shall take the form of an amalgamation, and upon the amalgamation, the Integrated Company shall assume all the rights and responsibilities of SP and NBC Thai, by which both of SP and NBC Thai are to be dissolved.

 The integration ratio is:
 SP : NBC Thai = 1 : 0.55

(2) Schedule for the Integration
 October 2012: 
 Execution of the merger agreement between SP and NBC Thai
 January 2013, provisionally:
 Launching of NIPPON STEEL & SUMIKIN Steel Processing (Thailand) Co., Ltd.*

* Subject to all necessary governmental approvals and licenses required to be obtained as well as all consents, approvals, waivers and other necessary protective procedures for all third parties, lenders and creditors

3. Outline of the Integrated Company

(1) Name:
NIPPON STEEL & SUMIKIN Steel Processing (Thailand) Co., Ltd.
(2) Head Office:
Eastern Seaboard Industrial Estate, Rayong, Thailand. (Currently, the location of SP)
(3) Business:
Manufacture and sale of steel wire for cold heading & cold forging and cold-finished steel bars
(4) Capital: 571 million bahts
(5) Equity ratio:
Nippon Steel & Sumitomo Metal Corporation 58.91%; Sumitomo Corporation 10.76%; Matsubishi Metal Industry Co., Ltd. 4.96%; Miyazaki Seiko Co., Ltd. 4.96%; Sanyu Co., Ltd. 4.96%; Nippon Steel & Sumikin Steel Processing Co., Ltd. 2.65%; Toyota Tsusho Corporation 4.26%; Metal One Corporation 3.55%; Suzutoyo Seiko Co., Ltd. 2.84%; and Sumitomo Corporation Thailand Ltd. 2.15%
(6) Production capacity:
84,000 t/y of steel wire for cold heading & cold forging 18,000 t/y of cold-finished steel bars


Reference: Outlines of SP and NBC Thai

[SP] 
Business:  
Manufacture & sale of steel wire for cold heading & cold forging and cold-finished steel bars
Establishment:   1997
Location:   Eastern Seaboard Industrial Estate, Rayong, Thailand
Representative: Shinichi Inaba
Capital:   341 million bahts
Shareholder formation: 
Nippon Steel & Sumitomo Metal Corporation 75.9%; Sumitomo Corporation 16.7%; Nippon Steel & Sumikin Steel Processing Co., Ltd. 4.1%; and Sumitomo Corporation Thailand Ltd. 3.3%
Total assets (as of the end of 2011):  1,790 million bahts
Employees (as of the end of June 2012):  142
Production capacity: 
44,000 t/y of steel wire for cold heading & cold forging
18,000 t/y of cold-finished steel bars

[NBC Thai]
Business:   Manufacture & sale of steel wire for cold heading & cold forging
Establishment:   2006
Location:   Eastern Seaboard Industrial Estate, Rayong, Thailand 
Representative: Katsunori Nagase
Capital:   230 million bahts
Shareholder formation:  
Nippon Steel & Sumitomo Metal Corporation 28%; Matsubishi Metal Industry Co., Ltd. 14%; Miyazaki Seiko Co., Ltd. 14%; Sanyu Co., Ltd. 14%; Toyota Tsusho Corporation 12%; Metal One Corporation 10%; and Suzutoyo Seiko Co., Ltd. 8%
Total assets (as of the end of 2011):

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on NIPPON STEEL & SUMITOMO ME
08/25 NIPPON STEEL & SUMITOMO METAL : Patent Issued for Method of Measuring Thickness ..
08/23 NIPPON STEEL & SUMITOMO METAL : Seoul court orders Japanese firm to compensate f..
08/17DJAsian Shares Mixed as China Approves Trading Link
08/12 CERTAIN HOT-ROLLED STEEL FLAT PRODUC : Final Determination of Sales at Less Than..
08/11 NIPPON STEEL & SUMITOMO METAL : Researchers Submit Patent Application, "Sliding ..
08/04 NIPPON STEEL & SUMITOMO METAL : Reports Summarize Safety Engineering Findings fr..
08/04 NIPPON STEEL & SUMITOMO METAL : Findings from Nippon Steel & Sumitomo Metal Corp..
08/02 NIPPON STEEL & SUMITOMO METAL : EGalv Steel Receives Best Supplier Award 2016 fr..
08/01 NIPPON STEEL & SUMITOMO METAL : EGalv Steel Receives Best Supplier Award 2016 fr..
07/28 NIPPON STEEL & SUMITOMO METAL : Patent Issued for Brake Lining for Railway Vehic..
More news
Sector news : Steel - NEC
08/22 ARCELORMITTAL SOUTH AFRICA : to pay record $110 mln to settle anti-trust charges
08/21DJFORTESCUE METALS : Net Profit Triples, Dividend Jumps
08/17 THYSSENKRUPP : Rio prosecutors investigate tax breaks for ThyssenKrupp plant
08/16DJSome Firms Intensify Push for Gender Parity at Board Level
08/16DJBHP Billiton Reports Worst-Ever Annual Loss
More sector news : Steel - NEC
News from SeekingAlpha
04/28 CONSTRUCTING A PURE ALPHA JAPAN PORT : Portable Alpha In A Negative Interest Rat..
04/08 Ternium Toughing It Out Amid Weak Prices
02/01 Top 4 Industrial Metal Producers - 20% Upside And Dividends Up To 28%
2015 Oilfield Equipment - Gaps Should Guide Investments
2015 HERE'S A GOOD ONE : The U.S. Is 'Dumping Steel' In Europe... Seriously
Advertisement
Financials ( JPY)
Sales 2017 4 603 298 M
EBIT 2017 -
Net income 2017 101 331 M
Debt 2017 1 856 543 M
Yield 2017 1,57%
P/E ratio 2017 18,01
P/E ratio 2018 10,93
EV / Sales 2017 0,83x
EV / Sales 2018 0,77x
Capitalization 1 968 591 M
More Financials
Chart NIPPON STEEL & SUMITOMO ME
Duration : Period :
Nippon Steel & Sumitomo Me Technical Analysis Chart | 5401 | JP3381000003 | 4-Traders
Full-screen chart
Technical analysis trends NIPPON STEEL & SU...
Short TermMid-TermLong Term
TrendsNeutralBearishNeutral
Technical analysis
Income Statement Evolution
More Financials
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 18
Average target price 2 282  JPY
Spread / Average Target 10%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
Kosei Shindo President & Representative Director
Shoji Muneoka Chairman
Shinya Higuchi Representative Director & Vice President
Soichiro Sakuma Representative Director & Vice President
Yasumitsu Saeki Managing Director & Manager-Flat Products Unit
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
NIPPON STEEL & SUMITOM..-11.44%19 326
VALE SA50.34%27 047
ARCELORMITTAL89.40%19 786
POSCO--.--%17 304
NUCOR CORPORATION20.82%15 501
THYSSENKRUPP AG16.36%13 520
More Results