TCM and Nissan forklift companies to merge
December 9th 2011

Forklifts manufacturers Nissan and TCM are to merge after their parent companies, Nissan Motor Company and Hitachi Construction Machinery, signed a memorandum of understanding in Japan.

Nissan is the 8th biggest global seller of forklifts and TCM the ninth, according to the latest survey by the US magazine Modern Materials Handling.

Subject to receiving the necessary approvals from government authorities, the business units will be integrated and operated under the new company by spring 2012.

All issued shares of Nissan and TCM will be transferred to the new company. In addition, a total of 30 billion yen of growth capital will be injected by public-private investment body INCJ into the new company.

The majority of the voting shares of the new company will be held by INCJ, while Hitachi Construction Machinery and Nissan will hold shares in the new company in proportion to their subsidiaries’ share transfer.

A press release read: “Many Japanese forklift manufacturers do not have sufficient scale to gain market share even with their technological prowess, which makes strategic mergers, acquisitions and restructuring vital for them to capture business in new, growing markets.”