02/06/14 – Mitsubishi purchases majority stake in Siemens VAI
Mitsubishi Heavy Industries (MHI) has taken a majority stake in the Siemens metal technologies subsidiary VAI, based in Linz in Austria, Austrian public broadcaster ORF reported.
Under the deal, a new company, to be set up in Britain, will be owned 51 percent by MHI and 49 percent by Siemens when the new joint venture agreement comes into effect in 2015.
Financial details were not undisclosed, though the ORF report said Wednesday the joint venture would employ 9,000 people and both companies would bring their metallurgical expertise to the venture with a focus on metal production.
It is unclear exactly how the business operations in Linz will be affected under the new ownership structure. More information is expected Thursday. Fears exist that at least 200 jobs may be under threat.
Governor of Upper Austria Josef Puhringer said Siemens Austria notified the state government of the sale Thursday. He opposed the plan to move the headquarters out of Austria, as there were about 1,600 full-time employees at the Linz site.
Source – New Europe Online