Tokyo-based Mitsubishi Electric Corp has agreed to acquire the Mitsubishi Electric power device sales business currently handled by Powerex Inc of Youngwood, PA, USA (a 50:50 joint venture between Mitsubishi Electric and General Electric), which will be taken over in January by Mitsubishi Electric US Inc of Cypress, CA, USA.
Mitsubishi Electric power devices are sold in Japan, Europe, the Americas, China, Southeast Asia and India. The Americas are a key region due to the projected growth of its automobile market. Putting the business in the hands of the subsidiary Mitsubishi Electric US will enable Mitsubishi Electric to focus more closely on its global customers, the firm reckons.
The specific benefits and synergies expected as a result of this new arrangement are as follows:
- stronger customer support for global manufacturing networks based in the Americas;
- stronger collaboration and technical support for the automobile market and automobile manufacturers; and
- resources sharing among existing business units within Mitsubishi Electric US.
Following the acquisition, Mitsubishi Electric will continue to support Powerex’s business development as a co-owner of the company.