Corporate Sep. 22, 2021HIOKI E.E. CORPORATION
Notice Concerning the Establishment of a Consolidated Subsidiary (Second-generation Subsidiary) in China
Hioki is pleased to announce that its consolidated subsidiary HIOKI (Shanghai) MEASUREMENT TECHNOLOGIES CO., LTD., has established a new company (as a second-generation subsidiary of Hioki).
1. Overview of the new second-generation subsidiary
(1) Name: HIOKI (Shanghai) Technology Development Co., Ltd.
(2) Head office: Shanghai, People’s Republic of China
(3) Representative: Pan Dongyun (President, HIOKI [Shanghai] MEASUREMENT TECHNOLOGIES CO., LTD.)
(4) Businesses: Sale of Hioki products and provision of associated customer support in China
(5) Capital: CNY 500 million (about JPY 85 million)
(6) Established: September 9, 2021
(7) Relationship with Hioki
Capital relationship: HIOKI (Shanghai) Technology Development Co., Ltd., is a wholly subsidiary of HIOKI (Shanghai) MEASUREMENT TECHNOLOGIES CO., LTD., which is in turn a wholly owned subsidiary of Hioki.
Personnel relationships: Yasunao Takano, who serves as a director of Hioki, also serves as a director of HIOKI (Shanghai) Technology Development Co., Ltd.
Business relationship: HIOKI (Shanghai) Technology Development Co., Ltd., plans to purchase products from HIOKI (Shanghai) MEASUREMENT TECHNOLOGIES CO., LTD., which is a wholly owned subsidiary of Hioki.
Note: The capital figure above was converted into yen at the rate of CNY 1 = JPY 17.
2. Purpose of establishment
Hioki is currently prioritizing development of a global sales network. Until now, HIOKI (Shanghai) Sales & Trading Co., Ltd., has been responsible for the sale of Hioki products and the provision of associated customer support and after-sales service in the Chinese market. That company changed its name to HIOKI (Shanghai) MEASUREMENT TECHNOLOGIES CO., LTD., and reorganized itself as a management company on June 18, 2021, with the purpose of expanding its business and enhancing its management structures in China. Its new role will be to manage Hioki’s regional operations in China. The new second-generation subsidiary, HIOKI (Shanghai) Technology Development Co., Ltd., will be responsible for the sale of Hioki’s products and the provision of associated customer support in the Chinese market. Going forward, Hioki will strengthen its corporate structures in China, which is becoming a key market for the company, as it continues to work to grow its businesses.
3. Future outlook
The impact of the establishment of this new second-generation subsidiary on the Group’s consolidated performance during the fiscal year ending in December 2021 will be minor.
Reference: The Hioki Group’s corporate structures in the Chinese market going forwards
Established in 1935, HIOKI E.E. CORPORATION (TSE: 6866) has grown to become a world leader in providing consistent delivery of test and measuring instruments through advanced design, manufacturing, and sales and services. By offering over 200 main products characterized by safety and quality while meeting an expansive range of applications, we aim to contribute to the efficiency and value of our customers' work in research and development, production and electrical maintenance. Hioki products and services are available around the world through our extensive network of subsidiaries and distributors. For more information, visit us at www.hioki.com.