JAPAN: Mitsubishi Heavy Industries (MHI) has confirmed an absorption-type company split agreement which will see its air conditioning and refrigeration becoming a a wholly owned subsidiary.
As revealed by the Cooling Post in February, the transfer of the business to MHI Air conditioning & Refrigeration Co Ltd is expected to be completed by October 1.
“The AC&R market is vulnerable to changes in economic trends and environmental regulations, and both domestic and overseas competition is becoming harsher each year,” MHI said in a statement. “While MHI has steadily expanded its AC&R business amid these developments, the company now seeks to strengthen its capacity to compete in this changing global market.”
By making air conditioning and refrigeration a stand-alone business, MHI seeks to to enhance its organisational responsiveness, and to put in place a structure conducive to swift decision-making.
President and CEO of the new business will be current air conditioning and refrigeration general manager Kaoru Kusumoto.