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Maruca and Furusato Industries establish a joint holding company

May 12, 2021

On May 7th 2021, Maruka and Furusato Industries announced that they have reached an agreement with respect to the establishment of MARUKA FURUSATO, which will be the wholly owning parent company of both companies, through a joint share transfer scheduled to become effective on October 1, 2021.

Maruka was established in 1946 and it has operated a wide range of businesses in Japan and abroad as a trading company specializing in industrial and construction machinery.

Maruka aims to further strengthen its sales of industrial and construction machinery as well as expanding the business of peripheral categories, such as parts and consumable goods, improving its earning power by strengthening its engineering capability through the incorporation of manufacturer functions into group companies, investing more management resources in overseas markets, expanding into growing fields such as food machinery and EV through M&A, and strengthening management practices by improving profitability.

On the other hand, since its establishment in 1959, Furusato Industries has been engaged in the manufacture, purchase, and sale of steel frame building supplies. Amid an increase in market share in a relatively small market and market contraction in a period of slow growth, in 2000, Furusato acquired G-net Corporation, a machine and industrial tool wholesaler, in order to ensure its growth by expanding its business areas, and 3 commenced the sales of machines and industrial tools to the domestic manufacturing industry. In 2007, it acquired Gifu Shoji in order to further develop the machine and industrial tool business and build its own strength. the Furusato Group aims to enhance competitiveness indifferent businesses, secure a revenue base by pursuing customer satisfaction, create a new business through synergies between businesses, re-challenge overseas business fields, acquire volumes and functions through M&A and alliances and increase corporate value through the promotion of capital cost management.

As described above, both companies have been considering alliances, including their integration, in order to address challenges in their respective business areas, achieve expansion of operation results, enhance corporate value and accelerate further growth and development. By using the strengths of both companies under the platform strategy for creating optimal value, the companies have come to realize that they will be able to overcome their respective challenges and create even greater synergies.


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