Hitachi to buy Fuji Heavy Industries’ wind turbine business
Fuji Heavy Industries has agreed to sell its wind-turbine business to Hitachi for about JPY1 billion yen (USD12 million), with specific terms to be finalized and the deal completed by the end of June according to a report by Bloomberg.
Spokesmen for the two companies said Hitachi posted about JPY27 billion (USD329 million) in sales from the wind business for the year ended March 2011 while Fuji Heavy’s revenue from the segment was about JPY5 billion (USD61 million) during the same period.
Although puny compared to international wind turbine competitors such as China’s Goldwind, which has just reported 2011 revenues of USD2 billion, Hitachi is hoping to capitalize on the acceleration of renewable energy development in Japan following the Fukushima Dai-Ichi nuclear accident.
“Specifically in the area of wind power generation systems, further introduction and expansion in Japan is widely predicted,” the companies said in the statement. Several years ago Hitcahi and Fuji Heavy jointly developed a 2-megawatt downwind type power generation system and 25 units have been delivered to six sites in Japan, according to the statement.
Hitachi plans to consolidate the resources of the two companies “to enhance the design and development capability, and integrate the manufacturing and distribution,” said the statement.