November 14, 2005 – Mitsui & Co. is stepping up its acquisition efforts in the electronics sector by establishing a holding company to oversee microchip and other operations, The Nihon Keizai Shimbun reported.
Management of chip-related subsidiaries has largely been independent of the parent, but faced with intensifying competition in the sector, the trading firm saw the need to exert its muscle and move forward with acquisitions.
Wholly owned unit Xion Holdings Inc. was renamed Mitsui Electronics Inc., under which existing affiliated operations have been reorganized into MBK Microtek Inc. – an exporter of chipmaking equipment – and chip marketer Bussan Teksel Electronics Co. The holding company plans to acquire such enterprises as microchip trading firms.
Mitsui Electronics Inc. is projecting group sales of about 50 billion yen or the year ending March 31, 2006. Through acquisitions, the company seeks to generate 100 billion yen in sales by fiscal 2007.