Mitsui Chemicals, Inc. (Tokyo) intends to carry out a joint incorporation-type demerger with Asahi Kasei (Tokyo) for the two companies’ nonwovens businesses, forming a new integrated company as of the tentative date of October 2, 2023. The companies have agreed on a business integration agreement that aims to carry on the operations that both companies run in Japan and Thailand for the production, development and sale of nonwovens-related products. The joint incorporation-type demerger will enable the establishment of the new integrated company pending the acquisition of all clearances and approvals that are required in line with competition laws and other relevant laws in Japan and Thailand.
Spunbond nonwoven products are widely used as materials in various fields for sanitary use, such as diapers and masks, for industrial use such as automotive interiors, construction, and filters, and for consumer products such as hand warmers and tea bags. Filter systems using nonwovens are also included.
The agreement includes all shares of consolidated subsidiary Asahi Kasei Spunbond (Thailand) Co., Ltd. held by Asahi Kasei; excluding the manufacturing operations of the spunbond plant in Moriyama, Shiga, Japan (Moriyama Spunbond Plant). The Final Agreement with Mitsui Chemicals provides for the manufacturing operations of the Moriyama Spunbond Plant to be transferred to the new joint-venture company by absorption-type separation upon completion of necessary preparations such as IT system deployment.