Metso increases valve manufacturing capacity in China
HELSINKI, FINLAND -- (Marketwired) -- 04/24/13 --
Metso Corporation's press release on April 24, 2013 at 10:30 a.m.
Metso sells its shares of joint venture company to Shanghai Electric
Metso has entered into an agreement to sell its shares of its joint
venture company Shanghai-Neles Jamesbury Valve Co., Ltd (SNJ) to
Shanghai Electric International Economic & Trading Co., Ltd (SEIC),
which is the other joint venture partner. At the same time, good
cooperation continues between Metso, SNJ and SEIC as companies have
agreed several future cooperation areas.
Metso will move its Jamesbury(R) valves production from SNJ to Metso
Center in Shanghai. The change from a joint-venture based
operation to directly
controlled Jamesbury business is in line with
Metso's long-term strategy to strengthen its valve production and
service capabilities in growing markets.
Chinese market is world's
second largest valve market with significant growth
the transaction Metso is able to independently develop and grow
valves solutions portfolio and offer more comprehensive customer
"This transaction emphasizes the significance of the Chinese market
and Metso's commitment to increase its presence near the
customers," states Perttu Louhiluoto, President, Automation, Metso.
He continues: "The Joint Venture with SEIC was an important part of
our earlier growth market strategy.
Now our focus is in building own
presence in these markets. I am particularly
delighted that while we
have exited the joint venture, we have agreed on future
SNJ was established 1990 to produce valves and actuators under
name for Chinese markets. Metso and SEIC owned both
50% of SNJ. SNJ employs currently 284 people. The final closing of
the transaction requires regulatory
approvals by Chinese authorities
and is estimated to take place during the second quarter of 2013.
During recent years, Metso has done series of investments in its
offering and presence. In 2012 Metso announced acquiring
a globe valve technology and service company, Valstone Control Inc.
in South Korea, inaugurated a new supply and service center in
and completed expansion of its valve production premises in the US.
Previous year, Metso opened a valve
technology center in Finland, and
2010 in Shanghai. Metso also has high-class industrial valve
facilities in Brazil and Germany.
Metso is the leading valve solutions and services provider. Metso's
solutions include control valves, automated on/off and
emergency shut-down valves, as well as smart positioners and
condition monitoring. Metso's world-leading product brands are
Neles(R), Jamesbury(R) and Mapag(R).
The Automation segment's process automation and flow control
solutions meet the
growing needs of Metso's customer industries to
improve production process efficiency as raw materials and energy
sources become scarcer and their costs
increase. Our global network
of service experts delivers business solutions to
our customers that
improve their productivity, lower risks and optimize
Metso is a global supplier of technology and services to customers in
the process industries, including mining, construction, pulp and
paper, power, and
oil and gas. Our 30,000 professionals based in over
50 countries contribute to
sustainability and deliver profitability
to customers worldwide. Metso's shares
are listed on the NASDAQ OMX
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Source: Metso Corporation via Thomson Reuters ONE
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