Kobe Steel Ltd. acquired a controlling stake in Wuxi Compressor Co. Ltd., transforming the Chinese company Wuxi into a subsidiary. Wuxi Compressor manufactures, designs and markets non-standard (process gases) compressors – the main component used in refineries, chemical and gas plants.
In 2011, Kobe Steel acquired a 44.3% stake in Wuxi Compressor from Wuxi Victor Group Co. Ltd .. In April 2020, Kobe Steel reached an agreement with Wuxi Victor to acquire an additional 25.7% stake in Wuxi Compressor, creating a 70% subsidiary of Kobe Steel.
By transforming Wuxi Compressor into a subsidiary, Kobe Steel will be able to provide more flexible business operations and further strengthen its marketing capabilities while offering a more personalized service in China, the company said. Kobe Steel Group has manufacturing sites for custom compressors in Japan, the United States and China, as well as sales and service locations in Germany, the United Arab Emirates, Brazil, the Philippines and Singapore.