Mitsubishi Electric and EKE-Electronics entered cooperation as 34% shares were acquired from EKE Group.
Through this strategic move, Mitsubishi Electric aims to strengthen product competitiveness of train control and management system and to establish technology of support system for condition-based maintenance.
Under this transaction, EKE-Electronics’ train control and management systems will be integrated Mitsubishi Electric’s train propulsion systems.
“Together, Mitsubishi Electric and EKE-Electronics will be able to offer truly ground-breaking technologies and solutions for the Intelligent Train Systems market globally,” said Hideki Fukushima, Executive Officer in charge of Public Utility Systems at Mitsubishi Electric.
The agreement for the procurement of shares of EKE-Electronics provides Finnish company new access to fast-growing markets in Asia and the US and will allow the provision of broader and more strategic solution portfolio, in collaboration with Mitsubishi Electric.
In addition, the cooperation with EKE-Electronics will help Mitsubishi Electric to provide more comprehensive solutions and projects for its customers globally.
“We are thrilled to have Mitsubishi Electric as a partner and shareholder in EKE-Electronics. We can grow faster and get access to new customers, especially in the APAC area and the US. The cooperation will enable us to package our innovative technologies into new modular solutions that we can together offer to a global client base,” Marko Mäkinen, CEO of EKE-Electronics said.
The Mitsubishi Electric and EKE-Electronics cooperation will offer both companies access to new markets while consolidates the position of the current markets. Mitsubishi Electric’s main markets have been the US and Asia, including India, while EKE-Electronics has access on the Europe, Australia, and China markets.
“Mitsubishi Electric presented a compelling win-win proposal to us. The investment and minority ownership of a global leader give EKE-Electronics additional capabilities but let the company remain firmly independent and in Finnish control,” said Riitta Ekengren, the Chairperson of the Board of EKE-Electronics.
Under the agreement, EKE-Electronics will continue with the current Finnish management, led by Marko Mäkinen as CEO, and its R&D activities will remain in Finland.
In 2019, EKE-Electronics bought Humaware, a UK firm specialising in predictive condition monitoring analytics, allowing the expansion of the products on the market sector.