Tachi-S China, which is a wholly-owned subsidiary of Tachi-S has acquired 51% of the subscribed share capital of Hunan Chanfeng Namba Automotive Components, which owns Hunan Changfeng Automobile SOFA and started a new joint venture.
The name of the joint venture company will be Hunan Tachi-S Automotive Seating, (hereinafter the “New Company”) and commenced business under the new structure as of the board meeting of the New Company held on 16 April 2019.
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Including the new company, Tachi-S conducts businesses relating to the development, production, and sale of automotive seats at 66 locations in 14 countries (as of April 2019) as a global seat system creator. This new joint venture is being conducted for the purpose of achieving further business expansion in China, which is positioned as an important region for Tachi-S, and further securing a business foundation in Changsha, Hunan, and it will contribute to the further expansion of automobile production in China. Global seat system creator: This means we are a company that is able to conduct seat development from the frame up, and engage in global production.
Outline of the New Company
- Business name: Hunan Tachi-S Automotive Seating.
- Representative: chairman Xi Zhi Xiong
- Location: Changsha Economic and Technological Development Zone, Hunan, China Business description: Manufacture and sale of automotive seats
- Main customer: GAC Mitsubishi Motors
- Production capacity: 300,000 units/year
- Start of production Production has already commenced as the predecessor of the New Company, Chanfeng Namba, was established in July 2012
- Sales: Approx. CNY500m (US$75m) (FY2018)
- Fiscal year: December
- Number of employees: 399 (as of April 16, 2019)
- Capital: CNY400m
- Equity participation: 51% by Tachi-S China (wholly-owned subsidiary of Tachi-S) 49% by Hunan Changfeng Automobile SOFA
- Effect on results: The effect of the New Company on the consolidated results of Tachi-S will be minor.
