Cementing New Bonds: Partnership Between Japan's Tsubaki and Mahindra Conveyor Systems
Cementing New Bonds: Partnership Between Japan's Tsubaki and Mahindra Conveyor Systems
Japan's Tsubakimoto Chain Co has just acquired a majority 51% stake in Mahindra Conveyor Systems. The partnership between the 2 has been cemented through the deal which builds on previous business tie-ups between the 2 groups.
Mahindra Conveyor Systems is a supplier of material handling equipment and systems. Tsubaki and MCS previously had a tie-up for technical knowledge and the Japanese firm also held an 8.5% stake. Following the deal the company will get a new moniker namely Mahindra Tsubaki Conveyor Systems Pvt Ltd.
As part of this deal, Tsubaki will carry out large-scale manufacture and sale of Unit Handling Systems for supplies in India as well as other countries such as Africa , Asia and Europe. The Japanese company was formed in the year 1917.
Tsubakimoto Chain's main business division are Chain, PTUC/Power Transmission Units and Components, Automotive Parts and Material Handling Operations. Mahindra Conveyor Systems has also expanded into a supply of conveyors for auto and auto component manufacturing. This includes systems for paint shop as well as vehicle assembly and other requirements. MCS had a turnover of more than INR 600 million last year.
The company specialises in bulk material handling equipment and systems for cement as well as other process industries. This company is part of the multi billion dollar Mahindra Group. MCS is a leading supplier of Material Handling Equipment and Systems and it is making inroads into new avenues following the partnership with Tsubaki.
Executives at MCS have also indicated that they are looking to combine talent and services to initiate growth and value creation. The new company formed following the partnership will provide complete solutions in fields such as cement, power, chemicals and mineral processing as well as auto sectors. The JV will carry out large scale manufacturing and sale of Unit Handling Systems and supplies will now be provided to other markets such as Europe and the Middle East as well.
The Tsubaki group has had a business association with MCS for over 20 years now and it supplies equipment to numerous users from various fields such as manufacturing plants as well as warehouses and research facilities.
MCS also specialises in bulk material handling equipment and systems. Its Japanese partner Tsubaki will be celebrating the 100th anniversary in just a span of 3 years. Highly advanced conveyor systems will be supplied by the new firm coming about as a partnership between Tsubaki and MCS. Based in Pune , MCS has formed a 49:51 JV with Tsubaki in a partnership which will yield rich dividends and expand horizons for this company.
