Ricoh and Toshiba Resolves to Conclude an Agreement
Ricoh and Toshiba Tec announced that the two companies resolved to conclude an agreement to set the terms and conditions for integrating businesses regarding the development and manufacturing of multifunction printers and other devices (hereinafter “MFPs”) by necessary procedures.
The Boards of Directors of both companies also resolved to conclude a shareholders agreement related to the Business Integration.
The Business Integration will be implemented mainly by an absorption-type split in order to succeed Ricoh’s Business and Toshiba Tec’s Business to Ricoh Technologies Company, Ltd., a subsidiary company of Ricoh in Japan (hereinafter the “Joint Venture”). The investment ratio in the Joint Venture after the Business Integration shall be 85% by Ricoh and 15% by Toshiba Tec.
In addition, Toshiba Tec businesses in certain countries may also be included in Toshiba Tec’s Business at Toshiba Tec’s discretion after the completion of certain procedures.
Based on these resolutions, the two companies will perform procedures such as a company split with the aim of realizing a joint venture effective on a specific day between April 1, 2024, and June 30, 2024, to be separately agreed upon by the two companies, that takes on the role of MFPs’ development and manufacturing with both companies as shareholders.
It is said that the two companies will enter into a joint venture that takes on the role of MFPs’ development and manufacturing to realize the following:
- Strengthen competitiveness and business foundations of office printing device manufacturing
By bringing the two companies’ respective technological strengths in the development and production of office printing equipment, the two companies will expand their planning, design, and development functions. The two companies will also make joint purchases for parts and materials, and mutually utilize their production bases to build a resilient supply chain that responds flexibly to heightened geopolitical risks and aims to achieve more robust manufacturing. Furthermore, the two companies will contribute to the realization of a circular economy by enhancing the efficiency and sophistication of reuse and recycling efforts to collect used MFPs.
- Collaborate on the planning and development of new solutions on the frontlines utilizing the technologies and resources of the two companies.
The Business Integration will enable the two companies to shift their resources to focus more on areas of innovation and individual areas of differentiation, thereby increasing their competitiveness and strengthening their business foundations. Furthermore, the two companies will work on joint planning and development of new solutions to support customers’ DX by integrating image recognition technology utilizing Toshiba Tec’s barcode printer, RFID, etc., and Ricoh’s optical and image processing technologies, such as cameras and projectors.
The two companies will provide competitive, high-quality, and high-value-added products created through co-creation to the global market through their respective branded products that pursue their unique user experience. Each of the two companies will provide solutions combined with various software and services through their respective sales channels to help customers enhance their productivity by digitalizing and improving workflows tailored to the needs of each of their operations. Thus, each of the two companies will contribute to resolving social issues by helping customers realize DX in their workplaces.
More details at here.
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