IHI Construction Machinery Purchased by Kato Works
October 25, 2016 - Kato Works Co. Ltd. has acquired 100% of the shares of IHI Construction Machinery Ltd. Kato reports there are a number a synergies between its products and the IHI mini-excavators, crawler cranes, and other crawler equipment. IHI will be known as IK until the transfer to Kato Group has been complete, and it will take on new name at that time.
All current facilities and network including overseas will be kept without major changes for the time being. The two companies will be assimilated over time. The scheduled transfer date is Nov. 25, 2016, and the transfer is subject to regulatory approval.
How this affects the North American market is Terex and IHI Construction Machinery Ltd. have had a long-standing agreement in which IHI provides crawler chassis for the Terex HC crawler cranes, which are built in Oklahoma City for the U.S. and Canadian markets. Terex confirms the agreement will remain unchanged for the foreseeable future.
